Car usage, CO2 emissions and fuel taxes in Europe

The number of diesel cars in Europe has grown significantly over the last three decades, a process usually known as dieselization, and they now account for nearly 40% of the cars on the road. We build on a dynamic general equilibrium model that makes a distinction between diesel motor and gasoline m...

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Detalles Bibliográficos
Autores: A. Marrero, Gustavo, Rodríguez-López, J., González, Rosa Marina
Tipo de recurso: artículo
Fecha de publicación:2020
País:España
Institución:Universidad Pablo de Olavide (UPO)
Repositorio:RIO. Repositorio Institucional Olavide
Idioma:inglés
OAI Identifier:oai:rio.upo.es:10433/25399
Acceso en línea:https://hdl.handle.net/10433/25399
Access Level:acceso abierto
Palabra clave:Cars CO2 emissions
Dieselization
Dynamic general equilibrium
Pigouvian fuel taxes
Europe
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spelling Car usage, CO2 emissions and fuel taxes in EuropeA. Marrero, GustavoRodríguez-López, J.González, Rosa MarinaCars CO2 emissionsDieselizationDynamic general equilibriumPigouvian fuel taxesEuropeThe number of diesel cars in Europe has grown significantly over the last three decades, a process usually known as dieselization, and they now account for nearly 40% of the cars on the road. We build on a dynamic general equilibrium model that makes a distinction between diesel motor and gasoline motor vehicles and calibrate it for main European countries. Firstly, we find that the dieselization can be explained by a change in consumer preferences paired with the productivity gains from the specialization of the European automotive industry. Secondly, the lenient tax policies in favor of diesel fuel help to explain the rebound effect in road traffic. Finally, from a normative standpoint, the model suggests that a tax discrimination based on the carbon content of each fuel (higher for diesel relative to gasoline) would actually be more effective in curbing CO2 emissions rather than a tax based on fuel efficiency. Based on the existing studies, we also document that other external costs of diesel are always higher than those of gasoline, and the Pigouvian tax rates should reflect this aspect. This recommendation is radically different to the existing fuel tax design in most European countries.Springer20262026-01-0920202020-01-0120202020-01-01journal articlehttp://purl.org/coar/resource_type/c_6501AMhttp://purl.org/coar/version/c_ab4af688f83e57aainfo:eu-repo/semantics/articleapplication/pdfhttps://hdl.handle.net/10433/25399reponame:RIO. Repositorio Institucional Olavideinstname:Universidad Pablo de Olavide (UPO)Inglésengopen accesshttp://purl.org/coar/access_right/c_abf2Attribution-NonCommercial-NoDerivatives 4.0 Internationalhttp://creativecommons.org/licenses/by-nc-nd/4.0/info:eu-repo/semantics/openAccessoai:rio.upo.es:10433/253992026-06-13T12:46:27Z
dc.title.none.fl_str_mv Car usage, CO2 emissions and fuel taxes in Europe
title Car usage, CO2 emissions and fuel taxes in Europe
spellingShingle Car usage, CO2 emissions and fuel taxes in Europe
A. Marrero, Gustavo
Cars CO2 emissions
Dieselization
Dynamic general equilibrium
Pigouvian fuel taxes
Europe
title_short Car usage, CO2 emissions and fuel taxes in Europe
title_full Car usage, CO2 emissions and fuel taxes in Europe
title_fullStr Car usage, CO2 emissions and fuel taxes in Europe
title_full_unstemmed Car usage, CO2 emissions and fuel taxes in Europe
title_sort Car usage, CO2 emissions and fuel taxes in Europe
dc.creator.none.fl_str_mv A. Marrero, Gustavo
Rodríguez-López, J.
González, Rosa Marina
author A. Marrero, Gustavo
author_facet A. Marrero, Gustavo
Rodríguez-López, J.
González, Rosa Marina
author_role author
author2 Rodríguez-López, J.
González, Rosa Marina
author2_role author
author
dc.contributor.none.fl_str_mv
dc.subject.none.fl_str_mv Cars CO2 emissions
Dieselization
Dynamic general equilibrium
Pigouvian fuel taxes
Europe
topic Cars CO2 emissions
Dieselization
Dynamic general equilibrium
Pigouvian fuel taxes
Europe
description The number of diesel cars in Europe has grown significantly over the last three decades, a process usually known as dieselization, and they now account for nearly 40% of the cars on the road. We build on a dynamic general equilibrium model that makes a distinction between diesel motor and gasoline motor vehicles and calibrate it for main European countries. Firstly, we find that the dieselization can be explained by a change in consumer preferences paired with the productivity gains from the specialization of the European automotive industry. Secondly, the lenient tax policies in favor of diesel fuel help to explain the rebound effect in road traffic. Finally, from a normative standpoint, the model suggests that a tax discrimination based on the carbon content of each fuel (higher for diesel relative to gasoline) would actually be more effective in curbing CO2 emissions rather than a tax based on fuel efficiency. Based on the existing studies, we also document that other external costs of diesel are always higher than those of gasoline, and the Pigouvian tax rates should reflect this aspect. This recommendation is radically different to the existing fuel tax design in most European countries.
publishDate 2020
dc.date.none.fl_str_mv 2020
2020-01-01
2020
2020-01-01
2026
2026-01-09
dc.type.none.fl_str_mv journal article
http://purl.org/coar/resource_type/c_6501
AM
http://purl.org/coar/version/c_ab4af688f83e57aa
dc.type.openaire.fl_str_mv info:eu-repo/semantics/article
format article
dc.identifier.none.fl_str_mv https://hdl.handle.net/10433/25399
url https://hdl.handle.net/10433/25399
dc.language.none.fl_str_mv Inglés
eng
language_invalid_str_mv Inglés
language eng
dc.rights.none.fl_str_mv open access
http://purl.org/coar/access_right/c_abf2
Attribution-NonCommercial-NoDerivatives 4.0 International
http://creativecommons.org/licenses/by-nc-nd/4.0/
dc.rights.openaire.fl_str_mv info:eu-repo/semantics/openAccess
rights_invalid_str_mv open access
http://purl.org/coar/access_right/c_abf2
Attribution-NonCommercial-NoDerivatives 4.0 International
http://creativecommons.org/licenses/by-nc-nd/4.0/
eu_rights_str_mv openAccess
dc.format.none.fl_str_mv application/pdf
dc.publisher.none.fl_str_mv Springer
publisher.none.fl_str_mv Springer
dc.source.none.fl_str_mv reponame:RIO. Repositorio Institucional Olavide
instname:Universidad Pablo de Olavide (UPO)
instname_str Universidad Pablo de Olavide (UPO)
reponame_str RIO. Repositorio Institucional Olavide
collection RIO. Repositorio Institucional Olavide
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repository.mail.fl_str_mv
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