Fuel taxation, emissions policy, and competitive advantage in the diffusion of European diesel automobiles

Miravete, Eugenio J., Moral, María J. and Thurk, Jeff (2018) Fuel taxation, emissions policy, and competitive advantage in the diffusion of European diesel automobiles. Rand Journal of Economics, 49 (3). pp. 504-540. ISSN 0741-6261

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Abstract

Economic integration agreements have significantly decreased import tariffs. We investigate whether national policies can be an effective replacement for tariffs to protect domestic industry. We show that (a) European fuel taxes and vehicle emissions policy favored diesel vehicles, a technology popular with European consumers but largely offered only by domestic automakers; (b) European automakers benefited from pro‐diesel fuel taxes and a lenient NOx emissions policy to earn significant profits from diesel cars; and (c) that both policies amounted to significant nontariff trade policies equivalent to an import tariff between two to three times the official rate.

Item Type: Article
Uncontrolled Keywords: trade policy,import tariff equivalence,diesel automobiles,emission standards,fuel taxation
Faculty \ School: Faculty of Social Sciences > School of Economics
Related URLs:
Depositing User: Pure Connector
Date Deposited: 27 Mar 2018 09:30
Last Modified: 25 Jul 2019 00:58
URI: https://ueaeprints.uea.ac.uk/id/eprint/66608
DOI: 10.1111/1756-2171.12243

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