On the China resource tax policies of exhaustible resources in the inter-temporal dynamic optimization-Coal industry as an example

Abstract

The optimal application of exhaustible resources is the kernel scientific problem in normative theory, and it is key to dynamic optimization in an intergenerational framework. In this paper, a dynamic optimization mining model, which was developed by introducing the resource tax as a key variable, by making a distinction between the situation of price exogenous (perfect competitive market) and situation of price endogenous (inperfect competitive market), and by contrasting profit-based resource tax, quantity-based resource tax and price-based resource tax, was applied in studying how will the resource tax system arrangement impacts the exploitation path, price path and inter-temporal allocation of the exhaustible resources. Then, policy suggestions were given for the resource tax reform of China's coal industry. © 2014 Springer-Verlag Berlin Heidelberg..