The Tax Foundation

Household Cap-and-Trade Burden Calculator

By reducing carbon emissions, cap-and-trade systems raise prices throughout the economy. These costs are ultimately paid by American consumers. The following calculator estimates the annual cost your household would face under a typical U.S. cap-and-trade system designed to reduce greenhouse gas emissions by 15 percent.

All estimates are based on the 2009 Tax Foundation study, "Who Pays for Climate Policy? New Estimates of the Household Burden and Economic Impact of a U.S. Cap-and-Trade System," available here.

(Default values are U.S. national averages. Roll over each category for additional detail.)

The U.S. average household income is $5,400 per month. This includes all wages and salaries, self-employment income, interest, dividends, capital gains, and all other combined income earned by every person living in your household.
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How much does your household spend per month on the following?

The U.S. average household spending on gasoline and motor oil is $216 per month. This includes all gasoline and motor oil expenditures.
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The U.S. average household spending on electricity is $130 per month. This includes all home electricity expenditures.
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The U.S. average household spending on natural gas and heating oil is $43 per month. This includes all natural gas and home heating oil expenditures.
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The U.S. average household spending on food and drink is $605 per month. This includes all food and beverage expenditures, including groceries consumed at home; food consumed at restaurants; and all alcoholic beverages.
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The U.S. average household spending on housing is $1,296 per month. This includes all housing and shelter-related expenditures other than electricity, natural gas and heating oil. Includes home mortgage interest costs; rental payments; property taxes; maintenance costs; hotel and motel rentals; home telephone service; municipal water service; cleaning and laundry services; new and used home appliances and equipment; furniture and floor coverings; and all other miscellaneous household expenses.
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The U.S. average household spending on healthcare is $259 per month. This includes all health-related expenditures, including out-of-pocket health insurance costs; medical services; pharmaceutical drugs; and all medical supplies.
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The U.S. average household spending on clothing and apparel is $173 per month. This includes all apparel and clothing-related expenditures, including men's, women's and children's clothes; shoes; tailoring; and all other apparel-related products and services.
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The U.S. average household spending on entertainment is $259 per month. This includes all entertainment-related expenditures, including fees and admissions; audio and visual equipment; pets, toys, hobbies and playground equipment; and all personal care products and services.
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The U.S. average household spending on all other expenditures is $778 per month. This includes all other expenditures not captured in the above categories, including reading material; education expenditures; tobacco products; personal and life insurance; cash contributions; and all other miscellaneous expenditures.
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