Home About Browse Search
Svenska


National gasoline and diesel demand elasticities and regional effects of carbon taxes in Sweden

Tafesse Tirkaso, Wondmagegn and Gren, Ing-Marie (2019). National gasoline and diesel demand elasticities and regional effects of carbon taxes in Sweden. Uppsala: (NL, NJ) > Dept. of Economics, Sveriges lantbruksuniversitet. Working paper series / Swedish University of Agricultural Sciences, Department of Economics ; 2019:02
[Report]

[img] PDF
964kB

Abstract

This study estimated national and regional-level gasoline and diesel demand elasticities in Sweden using county-level panel data obtained between 2001 and 2015, which were used to estimate regional effects of a cost effective achievement of the Swedish targets for CO2 emissions in the transport sector. The national-level elasticities were estimated by employing fixed effect (FE) and general method of moments (GMM) estimators, while county-level elasticities were calculated by considering the weight of each fuel type share at regional and national levels. Results from the national level indicated that per capita income, own and substitute prices, and per capita vehicle stocks were statistically significant in determining gasoline demand, while per capita income and own price were statistically significant in determining diesel demand. The calculated regional elasticities showed a variation between counties, with the highest being approximately 40 % higher than the lowest in absolute terms. A simulation of fuel taxes to achieve the Swedish 2030 emission target for the transport sector indicated considerable differences between counties in demand responses and private costs in relation to disposable income.

Authors/Creators:Tafesse Tirkaso, Wondmagegn and Gren, Ing-Marie
Title:National gasoline and diesel demand elasticities and regional effects of carbon taxes in Sweden
Series/Journal:Working paper series / Swedish University of Agricultural Sciences, Department of Economics (1401-4068)
Year of publishing :2019
Number:2019:02
Number of Pages:21
Place of Publication:Uppsala
Publisher:Department of Economics, Swedish University of Agricultural Sciences
ISSN:1401-4068
Language:English
Publication Type:Report
Article category:Other scientific
Full Text Status:Public
Agris subject categories.:X Agricola extesions > X70 Economics and management
Subjects:(A) Swedish standard research categories 2011 > 5 Social Sciences > 502 Economics and Business > Economics
Keywords:fuel demand, carbon tax, elasticity, dynamic panel data, region, Sweden
URN:NBN:urn:nbn:se:slu:epsilon-p-100725
Permanent URL:
http://urn.kb.se/resolve?urn=urn:nbn:se:slu:epsilon-p-100725
ID Code:16232
Faculty:NJ - Fakulteten för naturresurser och jordbruksvetenskap
Department:(NL, NJ) > Dept. of Economics
Deposited By: SLUpub Connector
Deposited On:04 Jul 2019 08:05
Metadata Last Modified:11 Mar 2020 12:31

Repository Staff Only: item control page

Downloads

Downloads per year (since September 2012)

View more statistics

Downloads
Hits