Freight transport, policy instruments and climate
The impact of policy instruments supposed to reduce greenhouse gas emissions from road freight transports may seem smaller than expected. Using insights from economics and contract theory, the paper sorts out the (possible) instances of market failure in the freight transport market; operator market power, asymmetric information split incentives, and public goods. The primary limitations of standard policy instruments are demonstrated to be linked to unobservable information. Some of these may be reduced but not eliminated as information technologies develop, making it possible to observe, verify and provide contract-relevant information to the uninformed parties. There is little reason to believe that possible market failures present major limitations to the efficiency of economic instruments geared toward protecting the climate, other than possibly in the short run.
|Date of creation:||10 Apr 2014|
|Date of revision:|
|Contact details of provider:|| Postal: Department of Real Estate and Construction Management, Royal Institute of Technology, Brinellvägen 1, 100 44 Stockholm, Sweden|
Web page: http://www.kth.se/en/abe/inst/fob
More information through EDIRC
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.:
- Carlén, Björn & Mandell, Svante, 2012. "On assessing climate effects of electrifying the transport sector," Working papers in Transport Economics 2012:11, CTS - Centre for Transport Studies Stockholm (KTH and VTI).
- Mandell, Svante, 2009.
"Policies towards a more efficient car fleet,"
Elsevier, vol. 37(12), pages 5184-5191, December.
- Mandell, Svante, 2011.
"Carbon emission values in cost benefit analyses,"
Elsevier, vol. 18(6), pages 888-892, November.
- George P. Baker & Thomas N. Hubbard, 2003. "Make Versus Buy in Trucking: Asset Ownership, Job Design, and Information," American Economic Review, American Economic Association, vol. 93(3), pages 551-572, June.
When requesting a correction, please mention this item's handle: RePEc:hhs:kthrec:2014_003. 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: (Herman Donner)
If references are entirely missing, you can add them using this form.