An increase in fuel taxes is often connected with the hypothesis of a triple dividend: Apart from the modal-shift-effect, which relieves the environment as well as the infrastructure, and the fiscal effect, which should increase the public revenue, the movement of passengers to public transport systems should decrease its deficit. However, this calculation fails because higher fuel prices increase peak-hour transit use but not leisure or off-peak transit. But the typical attribute of peak traffic is above-average marginal costs and below average revenues. Therefore, higher fuel taxes will increase public transport's deficit rather than decrease it. The fiscal lucrativeness of higher fuel taxes will be significantly lower than is often expected.
Download Info
To download:
If you experience problems downloading a file, check if you have the
proper application to
view it first. Information about this may be contained
in the File-Format links below. In case of further problems read
the IDEAS help
page. Note that these files are not on the IDEAS
site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Volume (Year): 8 (2001) Issue (Month): 1 (January) Pages: 19-28 Download reference. The following formats are available: HTML
(with abstract),
plain text
(with abstract),
BibTeX,
RIS (EndNote, RefMan, ProCite),
ReDIF
For technical questions regarding this item, or to correct its listing, contact: (Heidi Boesdal).
Related research
Keywords:
Cited by: (explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)