IDEAS home Printed from https://ideas.repec.org/a/bla/sajeco/v74y2006i3p422-441.html
   My bibliography  Save this article

Economic Impact Of A Provincial Fuel Levy: A Cge Analysis

Author

Listed:
  • Scott Mcdonald
  • Sanri Reynolds
  • Melt Van Schoor

Abstract

Provincial governments in South Africa, commencing with the Western Cape, are expected to institute provincial fuel levies in addition to the existing national fuel levy in future. This paper presents results from a Computable General Equilibrium (CGE) model calibrated with a detailed Social Accounting Matrix (SAM) to evaluate the effects of a 3 per cent provincial fuel levy implemented simultaneously in all provinces. The results are presented for the petroleum products market, government, the macro economy, industries, factor income (including employment) and household income and expenditure. Results indicate that although the impact of the fuel levy is not drastic, it is large relative to the expected revenue gain. The impact is distributed more uniformly than was expected.

Suggested Citation

  • Scott Mcdonald & Sanri Reynolds & Melt Van Schoor, 2006. "Economic Impact Of A Provincial Fuel Levy: A Cge Analysis," South African Journal of Economics, Economic Society of South Africa, vol. 74(3), pages 422-441, September.
    • Handle: RePEc:bla:sajeco:v:74:y:2006:i:3:p:422-441
    DOI: 10.1111/j.1813-6982.2006.00078.x
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/j.1813-6982.2006.00078.x
    Download Restriction: no
    File URL: https://libkey.io/10.1111/j.1813-6982.2006.00078.x?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Robinson, Sherman & Kilkenny, Maureen & Hanson, Kenneth, 1990. "The USDA/ERS Computable General Equilibrium (CGE) Model of the United States," Staff Reports 278341, United States Department of Agriculture, Economic Research Service.
    2. Berck, Peter & Robinson, Sherman & Goldman, George E, 1990. "The use of computable general equilibrium models to assess water policies," Department of Agricultural & Resource Economics, UC Berkeley, Working Paper Series qt082465zv, Department of Agricultural & Resource Economics, UC Berkeley.
    3. Kilkenny, Maureen, 1991. "Computable General Equilibrium Modeling of Agricultural Policies: Documentation of the 30-Sector FPGE GAMS Model of the United States," Staff Reports 278539, United States Department of Agriculture, Economic Research Service.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. G. Andrew Bernat, Jr. & Kenneth Hanson, 1995. "Regional Impacts Of Farm Programs: A Top-Down CGE Analysis," The Review of Regional Studies, Southern Regional Science Association, vol. 25(3), pages 331-350, Winter.
    2. Scott McDonald & Cecilia Punt, 2004. "Trade Liberalisation, Efficiency and South Africa's Sugar Industry," Working Papers 2004012, The University of Sheffield, Department of Economics, revised Aug 2004.
    3. Sandra Polaski et al, 2008. "Policy dilemmas in India: The Impact of changes in agricultural prices on rural and urban poverty," Indira Gandhi Institute of Development Research, Mumbai Working Papers 2008-012, Indira Gandhi Institute of Development Research, Mumbai, India.
    4. Orlov, Anton & Grethe, Harald & McDonald, Scott, 2013. "Carbon taxation in Russia: Prospects for a double dividend and improved energy efficiency," Energy Economics, Elsevier, vol. 37(C), pages 128-140.
    5. McDonald, Scott & Pauw, Kalie & Punt, Cecilia, 2004. "The Welfare Impacts of Domestic and International Agricultural Efficiency Gains: A South African Case Study," 2004 Inaugural Symposium, December 6-8, 2004, Nairobi, Kenya 9522, African Association of Agricultural Economists (AAAE).
    6. Reynolds, Sanri & van Schoor, Melt, 2005. "The Impact of a Higher Fuel Levy on the Western Cape," Working Paper Series 15631, PROVIDE Project.
    7. Ferrari, Emanuele & Boulanger, Pierre & Gonzalez-Mellado, Aida & McDonald, Scott, 2014. "Revisiting Decoupled Agricultural Policies in CGE frameworks: Theory and Empirics," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 170397, Agricultural and Applied Economics Association.
    8. Sayan, Serdar & Tin, Ela, 1998. ""Green Box" Measures For Agricultural Support: How Decoupled Can They Really Be? An Investigation Within Sam And Cge Frameworks," 1998 Annual meeting, August 2-5, Salt Lake City, UT 20852, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    9. Pierre Boulanger & Hasan Dudu & Emanuele Ferrari & Mainar Causape Alfredo & Ilaria Proietti, 2017. "Boosting the Fertilizer Production in Kenya: a CGE analysis," JRC Research Reports JRC104685, Joint Research Centre.
    10. Robinson, Sherman & Burfisher, Mary E. & Hinojosa-Ojeda, Raul & Thierfelder, Karen E., 1993. "Agricultural policies and migration in a U.S.-Mexico free trade area: A computable general equilibrium analysis," Journal of Policy Modeling, Elsevier, vol. 15(5-6), pages 673-701.
    11. McDonald, Scott & Punt, Cecilia & Rantho, Lillian & van Schoor, Melt, 2008. "Costs and benefits of higher tariffs on wheat imports to South Africa," Agrekon, Agricultural Economics Association of South Africa (AEASA), vol. 47(1), pages 1-33, March.
    12. McDonald, Scott, 2005. "The PROVIDE Project Standard Computable General Equilibrium Model: Version 2," Technical Paper Series 15625, PROVIDE Project.
    13. Hanson, Kenneth & Robinson, Sherman & Schluter, Gerald E., 1993. "Sectoral Effects Of A World Oil Price Shock: Economywide Linkages To The Agricultural Sector," Journal of Agricultural and Resource Economics, Western Agricultural Economics Association, vol. 18(1), pages 1-21, July.
    14. Orlov, Anton & Grethe, Harald, 2012. "Carbon taxation and market structure: A CGE analysis for Russia," Energy Policy, Elsevier, vol. 51(C), pages 696-707.
    15. McDonald, Scott & Robinson, Sherman & Thierfelder, Karen, 2006. "Impact of switching production to bioenergy crops: The switchgrass example," Energy Economics, Elsevier, vol. 28(2), pages 243-265, March.
    16. Orlov Anton & Grethe Harald, 2014. "Introducing Carbon Taxes in Russia: The Relevance of Tax-Interaction Effects," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 14(3), pages 723-754, July.
    17. Jason F.L. Koopman & Onno Kuik & Richard S.J. Tol & Roy Brouwer, 2015. "Water Scarcity From Climate Change And Adaptation Response In An International River Basin Context," Climate Change Economics (CCE), World Scientific Publishing Co. Pte. Ltd., vol. 6(01), pages 1-22.
    18. McDonald, Scott, 2003. "The PROVIDE Project Standard Computable General Equilibrium Model," Technical Paper Series 15627, PROVIDE Project.
    19. Bosello, Francesco & Eboli, Fabio & Parrado, Ramiro & Rosa, Renato, 2010. "REDD in the Carbon Market: A general equilibrium analysis," Conference papers 331978, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    20. Betsey A. Kuhn, 1996. "Policy Watch: The Food Stamp Program and Welfare Reform," Journal of Economic Perspectives, American Economic Association, vol. 10(2), pages 189-198, Spring.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:sajeco:v:74:y:2006:i:3:p:422-441. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://edirc.repec.org/data/essaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.