executive summary

Table ES4. Macroeconomic Impacts in Three Carbon Reduction Cases,
Average Annual Values, 2008-2012 (Billion 1992 Dollars)

Analysis Case	Loss in Potential GDP	Macroeconomic Adjustment Cost	Loss in Actual GDP	Purchases of International Permits	Total Cost to the Economy
1990-3%
Personal Income Tax Rebate	58	225	283	0	283
Social Security Tax Rebate	58	70	128	0	128
1990+9%
Personal Income Tax Rebate	32	137	169	23	192
Social Security Tax Rebate	32	59	91	23	114
1990+24%
Personal Income Tax Rebate	12	76	88	21	109
Social Security Tax Rebate	12	44	56	21	77
Note: Loss in potential GDP plus the macroeconomimc adjustment cost equals the loss in actual GDP. The actual GDP loss plus purchases of international permits equals the total cost to the economy. Source: Simulations of the Data Resources, Inc. (DRI) Macroeconomic Model of the U.S. Economy.