Biofuel mandate versus favourable taxation of electric cars. The case of Norway
Working paper
Published version
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http://hdl.handle.net/11250/2627950Utgivelsesdato
2013-06Metadata
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- Discussion Papers [1002]
Sammendrag
This study investigates whether biofuel policies or favourable taxation of electric cars should be employed to satisfy a green house gas emission target connected to private transport within the Norwegian economy. The study shows that implementation of biofuel generates a welfare gain in the presence of the current favourable taxation of electric cars in Norway. Implementation of biofuels, however, generates a welfare loss when the tax rate on purchase of electric cars is increased to the average tax rate on purchase of diesel powered cars.