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Fuel tourism in Dutch border regions: Are only salient price differentials relevant?

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  • Jansen, David-Jan
  • Jonker, Nicole

Abstract

Based on a detailed data set of consumer payments, we find only limited evidence that fluctuations in cross-border fuel price differentials are relevant for Dutch consumers' fuel demand. Consumers living close to the German border did, however, react to a salient increase in Dutch excise fuel duties in January 2014. Even so, the associated increase of fuel tourism was very temporary. Furthermore, there are no robust indications that fuel tourism is relevant for Dutch consumers living further than 10 km from either the border with Belgium or Germany. The absence of fuel tourism may be explained by the low level of cross-border commuting by Dutch workers.

Suggested Citation

  • Jansen, David-Jan & Jonker, Nicole, 2018. "Fuel tourism in Dutch border regions: Are only salient price differentials relevant?," Energy Economics, Elsevier, vol. 74(C), pages 143-153.
    • Handle: RePEc:eee:eneeco:v:74:y:2018:i:c:p:143-153
    DOI: 10.1016/j.eneco.2018.05.036
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    More about this item

    Keywords

    Energy demand; Fuel tourism; Taxes; Excise duties; Payment diaries;
    All these keywords.

    JEL classification:

    • D1 - Microeconomics - - Household Behavior
    • H2 - Public Economics - - Taxation, Subsidies, and Revenue
    • Q4 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy

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