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Effects of a mileage tax for trucks

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  • Luechinger, Simon
  • Roth, Florian

Abstract

We evaluate the effect of the introduction of a mileage tax for trucks in Switzerland in 2001 on traffic volume and externalities. Using a regression discontinuity design, we find a reduction in overall truck traffic of around 4–6%, no effects on car traffic and time-shifted placebos, suggestive evidence for traffic substitution toward rail, and negative effects on nitrogen oxides at curbside monitors. Complementary estimates on the effects of the German mileage tax and complementary estimates based on the synthetic control method are broadly consistent with our main results, although the latter are not statistically significant. Depending on prevailing levels of transportation costs, mileage tax-induced transportation cost increases may accelerate or reverse spatial economic concentration processes. Such implications for economic geography featured prominently in Switzerland and are a promising area for future research.

Suggested Citation

  • Luechinger, Simon & Roth, Florian, 2016. "Effects of a mileage tax for trucks," Journal of Urban Economics, Elsevier, vol. 92(C), pages 1-15.
    • Handle: RePEc:eee:juecon:v:92:y:2016:i:c:p:1-15
    DOI: 10.1016/j.jue.2015.09.005
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    Cited by:

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    2. repec:lpe:wpaper:201829 is not listed on IDEAS
    3. Mauricio Villamizar‐Villegas & Freddy A. Pinzon‐Puerto & Maria Alejandra Ruiz‐Sanchez, 2022. "A comprehensive history of regression discontinuity designs: An empirical survey of the last 60 years," Journal of Economic Surveys, Wiley Blackwell, vol. 36(4), pages 1130-1178, September.
    4. Matthias Klumpp, 2016. "To Green or Not to Green: A Political, Economic and Social Analysis for the Past Failure of Green Logistics," Sustainability, MDPI, vol. 8(5), pages 1-22, May.
    5. Castillo, Victoria & Figal Garone, Lucas & Maffioli, Alessandro & Salazar, Lina, 2017. "The causal effects of regional industrial policies on employment: A synthetic control approach," Regional Science and Urban Economics, Elsevier, vol. 67(C), pages 25-41.
    6. Zhu, Junming & Wang, Jiali, 2021. "The effects of fuel content regulation at ports on regional pollution and shipping industry," Journal of Environmental Economics and Management, Elsevier, vol. 106(C).

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    More about this item

    Keywords

    Mileage tax; Heavy vehicle fee; Regression discontinuity design; Synthetic control method;
    All these keywords.

    JEL classification:

    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise
    • R48 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Government Pricing and Policy
    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
    • Q53 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Air Pollution; Water Pollution; Noise; Hazardous Waste; Solid Waste; Recycling

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