Should diesel cars in Europe be discouraged?
Abstract
This paper examines the rationale for the different tax treatment of gasoline and diesel cars currently observed in Europe. First, we analyse possible justifications for a different tax treatment: pure tax revenue considerations, externality considerations and constraints on the tax instruments used for cars and trucks. Next, an applied general equilibrium model is used to assess the welfare effects of revenue neutral changes in the vehicle and fuel taxes on diesel and gasoline cars. The model integrates the effects on tax revenue, environmental externalities, road congestion, accidents and income distribution.Download Info
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Paper provided by Katholieke Universiteit Leuven, Centrum voor Economische Studiën, Energy, Transport and Environment in its series Energy, Transport and Environment Working Papers Series with number ete0005.Length: 33 pages
Date of creation: Nov 2000
Date of revision:
Handle: RePEc:ete:etewps:ete0005
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Related research
Keywords:Other versions of this item:
- Mayeres, Inge & Proost, Stef, 2001. "Should diesel cars in Europe be discouraged?," Regional Science and Urban Economics, Elsevier, vol. 31(4), pages 453-470, July.
- Mayeres, Inge & Proost, Stef, 2000. "Should diesel cars in Europe be discouraged ?," Open Access publications from Katholieke Universiteit Leuven urn:hdl:123456789/238243, Katholieke Universiteit Leuven.
- Inge Mayeres & Stef Proost, 2000. "Should Diesel Cars in Europe be discouraged ?," Center for Economic Studies - Discussion papers ces0018, Katholieke Universiteit Leuven, Centrum voor Economische Studiën.
- NEP-ALL-2001-11-27 (All new papers)
- NEP-ENE-2001-11-27 (Energy Economics)
- NEP-ENT-2001-11-27 (Entrepreneurship)
- NEP-NET-2001-11-27 (Network Economics)
References
References listed on IDEASPlease 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.:
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- Mayeres, Inge & Proost, Stef, 1998. "Marginal tax reform, externalities and income distribution," Open Access publications from Katholieke Universiteit Leuven urn:hdl:123456789/238244, Katholieke Universiteit Leuven.
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Citations
Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.Cited by:
- De Borger B. & Mayeres I., 2004.
"Taxation of car-ownership, car use and public transport: insight derived from a discrete choice numerical optimisation model,"
Working Papers
2004021, University of Antwerp, Faculty of Applied Economics.
- De Borger Bruno & Mayeres Inge, 2004. "Taxation of car ownership, car use and public transport: insights derived from a discrete choice numerical optimisation model," Energy, Transport and Environment Working Papers Series ete0413, Katholieke Universiteit Leuven, Centrum voor Economische Studiën, Energy, Transport and Environment.
- Hugh Hennessy & Richard S. J. Tol, 2011. "The Impact of Government Policy on Private Car Ownership in Ireland," The Economic and Social Review, Economic and Social Studies, vol. 42(2), pages 135â157.
- MAHENC Philippe, 2008. "Optimal environmental taxation when green alternative is available," LERNA Working Papers 08.04.248, LERNA, University of Toulouse.
- Mayeres, Inge & Proost, Stef, 2005.
"Towards better transport pricing and taxation in Belgium,"
Open Access publications from Katholieke Universiteit Leuven
urn:hdl:123456789/119312, Katholieke Universiteit Leuven.
- Inge Mayeres & Stef Proost, 2004. "Towards better transport pricing and taxation in Belgium," Reflets et perspectives de la vie économique, De Boeck Université, vol. 0(4), pages 23-43.
- Stef Proost & Inge Mayeres, 2005. "Towards better transport pricing and taxation in Belgium," Energy, Transport and Environment Working Papers Series ete0504, Katholieke Universiteit Leuven, Centrum voor Economische Studiën, Energy, Transport and Environment.
- Hennessy, Hugh & Tol, Richard S.J., 2011.
"The impact of tax reform on new car purchases in Ireland,"
Energy Policy,
Elsevier, vol. 39(11), pages 7059-7067.
- Hennessy, Hugh & Tol, Richard S. J., 2010. "The Impact of Tax Reform on New Car Purchases in Ireland," Papers WP349, Economic and Social Research Institute (ESRI).
- Hennessy, Hugh & Tol, Richard S. J., 2010. "The Impact of Climate Policy on Private Car Ownership in Ireland," Papers WP342, Economic and Social Research Institute (ESRI).
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"Does Britain or the United States Have the Right Gasoline Tax?,"
American Economic Review,
American Economic Association, vol. 95(4), pages 1276-1289, September.
- Parry, Ian & Small, Kenneth, 2002. "Does Britain or the United States Have the Right Gasoline Tax?," Discussion Papers dp-02-12-, Resources For the Future.
- Laure Cabantous & Olivier Chanel & Jean Christophe Vergnaud, 2009. "Transport, health and global warming: Deciding on the optimal policy," Université Paris1 Panthéon-Sorbonne (Post-Print and Working Papers) hal-00636837, HAL.
- De Borger, Bruno & Mayeres, Inge, 2007. "Optimal taxation of car ownership, car use and public transport: Insights derived from a discrete choice numerical optimization model," European Economic Review, Elsevier, vol. 51(5), pages 1177-1204, July.
- Pock, Markus, 2010. "Gasoline demand in Europe: New insights," Energy Economics, Elsevier, vol. 32(1), pages 54-62, January.
- Di Cosmo, Valeri & Hyland, Marie, 2012. "The ESRI Energy Model," Papers WP424, Economic and Social Research Institute (ESRI).
- Santos, Georgina & Behrendt, Hannah & Maconi, Laura & Shirvani, Tara & Teytelboym, Alexander, 2010. "Part I: Externalities and economic policies in road transport," Research in Transportation Economics, Elsevier, vol. 28(1), pages 2-45.
- Parry, Ian W.H. & Timilsina, Govinda R., 2010.
"How should passenger travel in Mexico City be priced?,"
Journal of Urban Economics,
Elsevier, vol. 68(2), pages 167-182, September.
- Parry, Ian W.H. & Timilsina, Govinda R., 2008. "How Should Passenger Travel in Mexico City Be Priced?," Discussion Papers dp-08-17, Resources For the Future.
- Claudio Agostini, 2010. "Efectos del Diferencial de Impuestos a las Gasolinas en la Demanda de Automóviles," ILADES-Georgetown University Working Papers inv243, Ilades-Georgetown University, Universidad Alberto Hurtado/School of Economics and Bussines.
- Pock, Markus, 2007. "Gasoline and Diesel Demand in Europe: New Insights," Economics Series 202, Institute for Advanced Studies.
- Parry, Ian W.H. & Timilsina, Govinda R., 2009. "Pricing externalities from passenger transportation in Mexico city," Policy Research Working Paper Series 5071, The World Bank.
- Hung, Wing-Tat, 2006. "Taxation on vehicle fuels: its impacts on switching to cleaner fuels," Energy Policy, Elsevier, vol. 34(16), pages 2566-2571, November.
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