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What is a Carbon Tax?

A carbon tax is a tax on fossil fuels according to the amount of CO2 they would produce on combustion (burning).  It would apply to all fossil fuels, and would be charged at extraction or importation of the fossil fuel. This tax would generally be passed on to consumers in an interim before alternatives are developed; but the revenue generated can also be refunded to taxpayers more generally so that average taxpayers are no worse off.