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Tax rate design and support for mileage user-fees

Author

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  • Duncan, Denvil
  • Li, Danyang
  • Graham, John D.

Abstract

Road mileage user-fees (MUFs) remain an unpopular financing option to replace fuel taxes at the state level despite being viewed favorably by some policy experts and policymakers. We investigate the extent to which tax-rate design can be used to boost support to the point where policymakers might feel comfortable moving ahead with replacing their fuel taxes with MUFs. Using data from four experimental surveys, we show that while tax-rate design can be used to increase public support for MUFs, the effect is likely too small to convince policymakers to adopt MUFs.

Suggested Citation

  • Duncan, Denvil & Li, Danyang & Graham, John D., 2020. "Tax rate design and support for mileage user-fees," Transport Policy, Elsevier, vol. 93(C), pages 17-26.
    • Handle: RePEc:eee:trapol:v:93:y:2020:i:c:p:17-26
    DOI: 10.1016/j.tranpol.2020.04.017
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    References listed on IDEAS

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    Cited by:

    1. Börjesson, Maria & Asplund, Disa & Hamilton, Carl, 2021. "Optimal kilometre tax for electric passenger cars," Working Papers 2021:3, Swedish National Road & Transport Research Institute (VTI).
    2. Yaryna Samusevych & Serhiy Lyeonov & Artem Artyukhov & Volodymyr Martyniuk & Iryna Tenytska & Joanna Wyrwisz & Krystyna Wojciechowska, 2023. "Optimal Design of Transport Tax on the Way to National Security: Balancing Environmental Footprint, Energy Efficiency and Economic Growth," Sustainability, MDPI, vol. 15(1), pages 1-14, January.
    3. Agnieszka Dudziak & Jacek Caban & Ondrej Stopka & Monika Stoma & Marie Sejkorová & Mária Stopková, 2023. "Vehicle Market Analysis of Drivers’ Preferences in Terms of the Propulsion Systems: The Czech Case Study," Energies, MDPI, vol. 16(5), pages 1-20, March.
    4. Doerrenberg, Philipp & Duncan, Denvil & Li, Danyang, 2024. "The (in)visible hand: Do workers discriminate against employers?," Journal of Public Economics, Elsevier, vol. 231(C).
    5. Börjesson, Maria & Asplund, Disa & Hamilton, Carl, 2023. "Optimal kilometre tax for electric vehicles," Transport Policy, Elsevier, vol. 134(C), pages 52-64.

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    More about this item

    Keywords

    Mileage road user fee; Gasoline tax; Highway financing; Public opinion; mTurk;
    All these keywords.

    JEL classification:

    • H2 - Public Economics - - Taxation, Subsidies, and Revenue
    • H54 - Public Economics - - National Government Expenditures and Related Policies - - - Infrastructures
    • R4 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics
    • C9 - Mathematical and Quantitative Methods - - Design of Experiments

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