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Evaluating CO 2 reduction policy mixes in the automotive sector

Author

Listed:
  • A. van Der Vooren
  • Eric Brouillat

    (GREThA - Groupe de Recherche en Economie Théorique et Appliquée - UB - Université de Bordeaux - CNRS - Centre National de la Recherche Scientifique)

Abstract

This paper presents an agent-based model that simulates the market for passenger cars in which firm strategies, market structure, consumer choices and policy instruments co-evolve. The main contribution of the paper is to explore the ways in which mixes of heterogeneous policy instruments impact on economic and technological decisions of firms, consumers' purchase decisions, global CO 2 emissions and public finance. We exhibit how the dynamics of the system can lead to a technological lock-in into internal combustion technologies and demonstrate the ways in which policy instruments can help to break this lock-in. We address the complementary, synergetic or contrasting effects between policy instruments. We show that policy mixes can be relevant to achieve the best of different stand-alone policy instruments, but not necessarily all policy mixes. Ex ante evaluation is therefore recommended.

Suggested Citation

  • A. van Der Vooren & Eric Brouillat, 2015. "Evaluating CO 2 reduction policy mixes in the automotive sector," Post-Print hal-03116360, HAL.
    • Handle: RePEc:hal:journl:hal-03116360
    DOI: 10.1016/j.eist.2013.10.001
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    Cited by:

    1. Foramitti, Joël & Savin, Ivan & van den Bergh, Jeroen C.J.M., 2021. "Emission tax vs. permit trading under bounded rationality and dynamic markets," Energy Policy, Elsevier, vol. 148(PB).
    2. Hongjun Guan & Zhen Zhang & Aiwu Zhao & Shuang Guan, 2019. "Simulating Environmental Innovation Behavior of Private Enterprise with Innovation Subsidies," Complexity, Hindawi, vol. 2019, pages 1-12, May.
    3. Juana Castro & Stefan Drews & Filippos Exadaktylos & Joël Foramitti & Franziska Klein & Théo Konc & Ivan Savin & Jeroen van den Bergh, 2020. "A review of agent‐based modeling of climate‐energy policy," Wiley Interdisciplinary Reviews: Climate Change, John Wiley & Sons, vol. 11(4), July.
    4. Christoph Mazur & Gregory J. Offer & Marcello Contestabile & Nigel Brandon Brandon, 2018. "Comparing the Effects of Vehicle Automation, Policy-Making and Changed User Preferences on the Uptake of Electric Cars and Emissions from Transport," Sustainability, MDPI, vol. 10(3), pages 1-19, March.
    5. Nuñez-Jimenez, Alejandro & Knoeri, Christof & Hoppmann, Joern & Hoffmann, Volker H., 2022. "Beyond innovation and deployment: Modeling the impact of technology-push and demand-pull policies in Germany's solar policy mix," Research Policy, Elsevier, vol. 51(10).

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