Attitude on carbon tax rebate defined by politics, not facts, survey suggests

Gas fill up

A person fills up his truck with gasoline in Toronto on April 1, 2019. THE CANADIAN PRESS/Christopher Katsarov


Rebates on carbon taxes have not helped Canadians heat to them, a brand new survey suggests.


Outcomes revealed this week within the journal Nature Local weather Change say that not solely did rebates fail to make a lot distinction to public opinion, Canadians do not perceive them very nicely.


And people satisfied they had been paying extra in carbon taxes than they obtained remained simply as satisfied even once they had been proven the information.


"Partisanship had a big effect -- not simply on whether or not individuals had been supportive of the thought of carbon pricing, however on their notion of the information," stated co-author Kathryn Harrison of the College of British Columbia.


Harrison stated she and her colleagues wished to review whether or not carbon rebates -- returning cash to taxpayers to offset and even exceed the quantity they'd paid in carbon taxes -- would make the coverage extra palatable.


"Canada was one of many first two nations to do this," Harrison stated. "There was a possibility to systematically examine what was the impression of the coverage."


The workforce surveyed Canadians between early 2019 and March 2020. They checked out Saskatchewan and Ontario, whose residents get the federal rebate; Quebec, which makes use of a cap-and-trade system to scale back carbon; British Columbia, which has a provincial carbon tax with out rebates; and Alberta, which ended up on the federal program midway by the examine when it cancelled its provincial levy.


Respondents had been queried after the rebate plan was introduced, after it was carried out, after the primary rebates had been issued, after the 2019 federal election and a 12 months after the preliminary announcement. The pattern dimension was 3,313 at the beginning and 899 by the tip of the fifth survey.


"There was no magic," stated Harrison.


The survey discovered, at most, minor adjustments in assist for carbon pricing over time in all 5 provinces. British Columbia, which does not provide rebates, confirmed the most important improve at about 10 proportion factors. No province confirmed a lower.


There have been large gaps in assist between self-identified Liberal and Conservative respondents.


However the researchers discovered practically half the Ontario respondents and a couple of quarter of these in Saskatchewan did not even know they bought a rebate. Those that did persistently underestimated the quantity by a median of 40 per cent in Ontario and 32 per cent in Saskatchewan.


When researchers confirmed the respondents the true worth of their rebate, a easy calculation that requires no tax information, the outcomes once more break up over political affiliation.


"After studying how a lot they had been getting again, Conservative voters had been extra prone to report they had been web losers, that they had been paying extra in taxes than they had been getting again," Harrison stated.


"They should have elevated their estimate of how a lot they had been paying up entrance," she stated. "(They) appear to have adjusted their beliefs in an effort to assist their place of opposition to the federal carbon tax."


When the researchers carried out related surveys in Switzerland, the opposite nation to have carried out a rebate system, Harrison stated the outcomes had been related.


The outcomes are discouraging for individuals who consider the general public as composed of rational actors coolly evaluating info and appearing on their finest pursuits, Harrison stated.


"Giving individuals again cash does not mechanically shift the politics of it.


"Canadians are getting their indicators on this sort of coverage from individuals they belief, whether or not it is curiosity teams or politicians. In lots of circumstances, they're basing these positions on inaccurate info."

This report by The Canadian Press was first revealed Jan. 25, 2022.

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