The government’s Turning the in the Canadian federal proposal (with the exception of Corner announcement of $1.5 billion for the Clean Air technology fund contributions). [...] A recent report by for the easing of the transition to a lower-carbon Canada’s Commissioner of the Environment and economy. [...] Climate policy — for example, a the tax or the permit system, emitters face the same carbon tax — is modelled as an increase in the cost of emissions price and the same incentive to abate. [...] The extent to which the cost increases depends on the carbon content of the good. [...] The change in productive activity in the econ- included and the carbon price differs by emissions omy resulting from climate policy is measured as a per- centage change in GDP relative to the baseline, or source, the costs of achieving a given reduction tar- business-as-usual (BAU), scenario.