Flight ticket taxes in Europe: environmental and economic impact

We examine the causal impact of flight ticket taxes on airline flights and derived CO2 emissions and analyse its distributional effects between airlines and travellers and within travellers. We use a dataset on flights within Europe at the airline-route level and apply a staggered difference-in-diff...

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Detalhes bibliográficos
Autores: Bernardo, Valeria, Fageda, Xavier, Teixidó, Jordi
Formato: artículo
Fecha de publicación:2024
País:España
Recursos:TecnoCampus
Repositorio:Repositori Digital del TecnoCampus
OAI Identifier:oai:repositori.tecnocampus.cat:20.500.12367/2927
Acesso em linha:http://hdl.handle.net/20.500.12367/2927
Access Level:acceso abierto
Palavra-chave:Flight ticket taxes
Climate change costs
Diff-in-diff
Europe
Descrição
Resumo:We examine the causal impact of flight ticket taxes on airline flights and derived CO2 emissions and analyse its distributional effects between airlines and travellers and within travellers. We use a dataset on flights within Europe at the airline-route level and apply a staggered difference-in-differences approach considering potential bias of the standard two-way fixed effects and the potential distorting effects of heterogeneities between treated and control routes. The main analysis focuses on low-cost airlines because connecting passengers are typically excluded from the tax. We find that flight ticket taxes have a significant overall effect on low-costs airlines supply and derived emissions: ticket taxes reduce the number of flights per airline-route by 12% on average compared to the counterfactual scenario, resulting in a 14% reduction in carbon emissions. [...]