One of the ways in which the reduction of negative externalities contributing to climate change can be achieved is through taxation. Here, I consider the possibility of adding another policy objective, namely improving public health, as part of the calculation of an optimal fuel tax, in order to approach optimal levels of dirty, clean passive and clean active transport. I conceptualised the problem in a simple analytical model, and am presenting initial numerical results from my parametrisation. The values were calculated based on the current (future) Finnish population.
We would especially like to discuss approaches to parametrising some of the values present in the theoretical model, as well as possible changes to the conceptualisation of the problem itself.