The kilometer tax and Swedish industry-effects on sectors and regions

An introduction of a kilometer tax for heavy goods vehicles can be constrained by the risk of that higher production costs than competitors in other countries will negatively affect regions and industries of policy concern. We estimate factor demand elasticities in the Swedish manufacturing industry...

Full description

Saved in:
Bibliographic Details
Published in:Applied economics 2011-09, Vol.43 (22), p.2907-2917
Main Authors: Hammar, Henrik, Lundgren, Tommy, Sjöström, Magnus, Andersson, Matts
Format: Article
Language:English
Subjects:
Business and economics
Competition
Competitors
Demand analysis
Economic analysis
Economic theory
Economics
Economics and Business
Ekonomi
Ekonomi och näringsliv
Elasticity
Elasticity of demand
Environmental Sciences related to Agriculture and Land-use
Freight
Freight forwarding
Heavy goods vehicles
Industrial production
macroeconomics
Manufacturing
Miljö- och naturvårdsvetenskap
Nationalekonomi
Prices
Production costs
Production measurement
Road transport
SAMHÄLLSVETENSKAP
Shipping industry
SOCIAL SCIENCES
Studies
Sweden
Taxation
Taxes
Transport Science
Transportation
Transportation economics
Transportvetenskap
Citations: Items that this one cites
Items that cite this one
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:An introduction of a kilometer tax for heavy goods vehicles can be constrained by the risk of that higher production costs than competitors in other countries will negatively affect regions and industries of policy concern. We estimate factor demand elasticities in the Swedish manufacturing industry using firm level data for the 1990 to 2001 period on input prices and quantities. The results show that the introduction of a kilometer tax for heavy goods vehicles decreases transport demand and increases labour demand. The effects are less pronounced in terms of changes in output, though some industries (e.g. wood, pulp and paper) can be expected to be affected more than others due to their dependence on road freight transport. The regional dimension regarding the consequences of a kilometer tax seems to be small or even nonexisting.
ISSN:0003-6846
1466-4283
1466-4283
DOI:10.1080/00036840802600608