/AEAPP-Metcalf-Stock-2020

Data and code for: Measuring the Macroeconomic Impact of Carbon Taxes

Primary LanguageStataMIT LicenseMIT

AEAPP-Metcalf-Stock-2020

Measuring the Macroeconomic Impact of Carbon Taxes

Data and code for: Metcalf, Gilbert E., and James H. Stock. 2020. "Measuring the Macroeconomic Impact of Carbon Taxes." AEA Papers and Proceedings, 110: 101-06.

Overview

The code in this replication package constructs the tables and figures using Stata. The master file runs all of the code to generate two tables and two appendix figures.

Description of files and code:

  • master_MetcalfStock.do will run all the files to construct the final tables and figures.
  • do_files contains the do files run by the master file.
    • Creating the dataset: names.do, employment.do, GDP.do, ctax.do, and merge and calculate.do create the dataset for analysis.
    • Analysis: EUctax_IRF_AERPP.do runs the analysis and creates the paper tables.
    • Appendix figures: EUctax_IRF_5.do, EUctax_IRF_AERPP_out_r1.do, and EUctax_IRF_CIRF_lun_tabfig.do create the appendix figures.
  • stata contains the raw data, the dataset used for analysis, and the results.
  • Replication memo.docx details the sources for all raw data.

Instructions to Replicators

Edit master_MetcalfStock.do to change the default path.

Note

In March 2020 we found a data bug that makes minor changes to some EU2 results. So, the EU2 results in the out\AERPP_results.xlsx spreadsheet don't match Table 2 exactly for EU2, although they do match for the CT20 countries (countries with CT >= $20). There are no qualitative changes. For example, the upper left estimate in Table 2 is 0.10 (SE = 0.43). Using the corrected data, the result is (0.14) (SE = 0.41). Another bug causes small rounding discrepancies from the results in Table 2.