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EU proposed Carbon Border Tax

  • Published
    16th Nov, 2021

What is the rationale behind the Carbon border adjustment tax being proposed by some European nations? Why is India opposing it? (250 words)

Approach:

  • Introduce by describing the concept of externality and carbon tax
  • Elaborate on the logic behind carbon border tax, use illustration/flow chart if possible
  • Discuss how the proposal will harm and India and why India is opposing it
  • Way Forward / Conclusion
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