Agree or Disagree in Increasing Taxes if Used to Prevent Environmental Pollution - Case Study Example

Agree or disagree in increasing in taxes if used to prevent environmental pollution Name: Tutor: Course: Date: Agree or disagree in increasing in taxes if used to prevent environmental pollution Introduction This case study seeks to evaluate the citizens’ agreement on the increment of taxes purposively for preventing environmental pollution. Ideally, most policy makers would agree that environmental problems would not be dealt with effectively without the support of the public. This research study, therefore aims at establishing the perception of the citizens with regard to increasing taxes as a means of protecting the environment through prevention of environmental pollution (Ronald 1995). Consequently, this case study will seek to answer the research question using age, gender, income, level of patriotism, political interest and population size of town. Theoretical background Age Several previous researches have established a relationship between the research question and age. According to Torgler, GarcíaValiñas & Macintyre (2008), age has a significant impact on an individual’s perception about environmental taxes aimed at preventing environmental pollution. Most prior studies have established that the younger and older generation view environmental tax increases differently. Whitehead (1991) attributes this difference to the fact that the younger people tend to live longer and thus subsequently enjoy the long-term benefits derived from the conservation of the environment. In addition, the younger generation is also more willing to pay additional taxes to be used to prevent environmental pollution, compared to the older generation (Howell & Laska, 1992). Income The level of income is also believed to significantly influence a person’s willingness to agree with the increment in environmental taxes aimed at preventing environmental pollution. Typically, individuals who earn more income would be more willing to agree on increment in taxes, compared to individuals who earn relatively lower income (Israel and Levinson, 2004). Many research studies show that the economic status of a person greatly influences the person’s perception about tax increase adjustments with regard to environmental conservation. This is because most high income earners are usually more willing to pay more attention and are more likely to embrace tax policies aimed at environmental conservation (Torglar & Garcia-valians, 2007). Sex According to Stern, Dietz & Kalof (1993), gender differences influence the attitudes and support of different environmental policies. Therefore, men and women would not necessarily both support the increment adjustment in taxes, aimed at preventing environmental pollution. The general observation in most studies indicates that women tend to be more concerned about the environment compared to the men (Van Liere and Dunlap, 1980). This implies that, ideally, women would be more willing than men, to bear additional tax burden aimed at preventing environmental pollution (Torglar& Garcia-valians, 2007). Interest in politics Political interest and awareness is also believed to significantly influence an individual’s willingness to accept tax increment aimed at preventing environmental pollution. According to Torglar & Garcia-valians (2007), citizens who pay more attention to politics and social issues are usually more willing to make contribution towards environmental conservation. Thus, Torglar & Garcia-valians (2007) established that the political interest and awareness of an individual has a strong influence on the perception towards environmental policies. How proud of nationality This relates to the level of patriotism of a person. Most individuals with lots of pride about their nationality tend to have environmental conservation attitudes. According to Torglar & Garcia-valians (2008), the level of patriotism and pride of a person’s nationality influences greatly on the person’s attitude towards policies aimed at environmental conservation. This suggests that individuals with a high sense of national pride are more willing to agree on tax increment aimed at preventing environmental pollution. Population size of town Several researches indicate that there is a relationship between the population size and the attitudes towards environmental conservation. According to Witzke and Urfei (2001), regional differences tend to influence the opinions of people about their environment and also the environmental conservation measures. People living in towns with high population tend to be more concerned and aware about environmental conservation measures. Therefore, the population size is considered a significant factor, which shapes the attitudes about tax increases aimed at preventing environmental pollution (Bulte et al, 2005). Method The sample data used in this study was derived from the World Values Survey (WVS), which was carried out in Australia in 2005. The respondents included in the survey are aged between 17-93 years. In addition, the female respondents are 55% of the total sample size, while the male respondents make up 45% of the 1421 respondents included in the survey. Dependent Variable Supportiveness of the increase in environmental protection taxes In this research study, question 34 on the survey questionnaire, will be the dependent variable, since it indicates the supportiveness of an individual on the increase in environmental protection taxes. The variable will be coded from 1 to 4, indicating a respondent strongly agree, agree, disagree or strongly disagree as follows; 1. Strongly agree 2. Agree 3. Disagree 4. Strongly disagree Independent Variables Age The respondents included in this study are aged between 17-93 years. In the survey data, age is an interval variable, ranging between 17 to 93 years. Therefore, age is used to establish whether age influence a person’s support of the increase in environmental protective taxes. Income Income is measured by question 107; ‘What is your gross household income, before tax or other deductions, from all sources?’ in the survey questionnaire. The question is coded using 10 levels, going up from the lowest income level to the highest income level, which is from less than $18,000 per annum to more than $115,000 per annum. Sex The independent variable; Sex is related to question 89 ‘What is your sex?’ In this study, the variable will be coded as follows; 0 to represent male and 1 to represent female. Interest in politics In this research study, Interest in politics is related to question 30, ‘How interested would you say you are in politics?’ The variable in the sample data is coded using the scale of 1 to 4. The representation of the codes is as follows; 1. Very interested 2. Somewhat interested 3. Not very interested 4. Not at all interested How proud of nationality This variable is related to question 68 in the survey questionnaire. The variable is coded as follows; How proud are you to be Australian? 1. Very proud 2. Quite proud 3. Not very proud 4. Not at all proud Population size of town The population size of town is related to question 109 in the survey questionnaire; ‘What is the approximate size of the population of the city or town where you live?’ The population size of town in the sample data ranges from under 2000 to 500,000 or more. There are a total of eight levels used to code the population size of the respective towns. This is given by the code 1 to 8 beginning with the lowest population to the highest population. Analysis This section analyses and subsequently discusses the data collected from the participants who were sampled in the survey. This includes the descriptive statistics of the demographic information of the respondents which relates to the dependent variable. In addition, the section also contains further analysis used to establish the relationship between the dependent variable and the independent variables. Various theoretical approaches were used during the data analysis. These included correlation and regression analyses used to test hypotheses related to the relationships among the variables tested for association. Table 1 below, illustrates the frequency statistics that relates to the dependent variable; Supportiveness of the increase in environmental protection taxes. Table 1: Increase in taxes if used to prevent environmental pollution Frequency Valid Percent Strongly agree 180 13.0 Agree 626 45.2 Disagree 431 31.1 Strongly disagree 149 10.8 The frequency statistics in Table 1 indicate that the majority of the respondents (45%) agree with the increase in taxes if used to prevent environmental pollution. Only 10.8% of the respondents strongly disagree with the increase in taxes if used to prevent environmental pollution. The correlation coefficients between the dependent variable and the respective independent variable are as indicated in Table 2 shown below; Table 2: Correlation coefficients (r) between Supportiveness of the increase in environmental protection taxes and age, income, sex, interest in politics, how proud of nationality and population size of town Increase in taxes if used to prevent environmental pollution Age .008 Income .083** Sex -.014 Interest in politics .193** How proud of nationality -.065* Population size of town .114** Note: *p Read More