The impact of fiscal and other measures on new passenger car sales and CO2 emissions intensity: Evidence from Europe
This paper examines the impact of national fiscal measures in the EU (EU15) on passenger car sales and the CO2 emissions intensity of the new car fleet over the period 1995-2004. CO2 emissions and energy consumption from road transport have been increasing in the EU and as a result since 1999 the EU has attempted to implement a high profile policy strategy to address this problem at European level. Less prominent is the fact that Member States apply vehicle and fuel taxes, which may also be having an impact on the quantity of passenger cars sold and their CO2 emissions intensity. Diesel vehicle sales have increased appreciably in many countries over the same period and this study makes a first attempt to examine whether Member State fiscal measures have influenced this phenomenon. This work uses a panel dataset to investigate the relationship between national vehicle and fuel taxes on new passenger car sales and the fleet CO2 emissions intensity in EU15 over a 10-year period. Our results show that national vehicle and fuel taxes have had an impact on passenger car sales and fleet CO2 emissions intensity and that different taxes have disparate effects.
If you experience problems downloading a file, check if you have the proper application to view it first. 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.
References listed on IDEAS
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.:
- Rietveld, Piet & van Woudenberg, Stefan, 2005. "Why fuel prices differ," Energy Economics, Elsevier, vol. 27(1), pages 79-92, January.
- Eskeland, Gunnar S. & Feyzioglu, Tarhan N., 1997.
"Is demand for polluting goods manageable? An econometric study of car ownership and use in Mexico,"
Journal of Development Economics,
Elsevier, vol. 53(2), pages 423-445, August.
- Eskeland, Gunnar S. & Feyzioglu, Tarhan N. & DEC, 1994. "Is demand for polluting goods manageable? an econometric study of car ownership and use in Mexico," Policy Research Working Paper Series 1309, The World Bank.
- McCarthy, Patrick S, 1996. "Market Price and Income Elasticities of New Vehicles Demand," The Review of Economics and Statistics, MIT Press, vol. 78(3), pages 543-547, August.
- Sterner, Thomas, 2007. "Fuel taxes: An important instrument for climate policy," Energy Policy, Elsevier, vol. 35(6), pages 3194-3202, June.
- Plotkin, Steven E., 2001. "European and Japanese fuel economy initiatives: what they are, their prospects for success, their usefulness as a guide for US action," Energy Policy, Elsevier, vol. 29(13), pages 1073-1084, November.
- Pakes, Ariel & Berry, Steven & Levinsohn, James A, 1993. "Applications and Limitations of Some Recent Advances in Empirical Industrial Organization: Price Indexes and the Analysis of Environmental Change," American Economic Review, American Economic Association, vol. 83(2), pages 241-246, May.
- Austin, David & Dinan, Terry, 2005. "Clearing the air: The costs and consequences of higher CAFE standards and increased gasoline taxes," Journal of Environmental Economics and Management, Elsevier, vol. 50(3), pages 562-582, November.
- Storchmann, Karl, 2005. "Long-Run Gasoline demand for passenger cars: the role of income distribution," Energy Economics, Elsevier, vol. 27(1), pages 25-58, January.
- Baltagi, Badi H & Griffin, James M, 1984. "Short and Long Run Effects in Pooled Models," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 25(3), pages 631-645, October.
- repec:reg:ranaly:139 is not listed on IDEAS
- Greene, David L. & Patterson, Philip D. & Singh, Margaret & Li, Jia, 2005. "Feebates, rebates and gas-guzzler taxes: a study of incentives for increased fuel economy," Energy Policy, Elsevier, vol. 33(6), pages 757-775, April.
- Berry, Steven & Levinsohn, James & Pakes, Ariel, 1995. "Automobile Prices in Market Equilibrium," Econometrica, Econometric Society, vol. 63(4), pages 841-890, July.
- Bresnahan, Timothy F, 1987. "Competition and Collusion in the American Automobile Industry: The 1955 Price War," Journal of Industrial Economics, Wiley Blackwell, vol. 35(4), pages 457-482, June.
When requesting a correction, please mention this item's handle: RePEc:eee:eneeco:v:31:y:2009:i:3:p:365-374. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Dana Niculescu)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.