Energy taxation in a small, open economy : efficiency gains under political restraints
MetadataShow full item record
- Discussion Papers 
Abstract: Welfare analyses of energy taxes typically show that systems with uniform rates perform better than differentiated systems, especially if revenue increases can be recycled via cuts in more distortionary taxes. However, in the practical policy debates, the scope for efficiency gains is traded against industrial concerns. A major explanation to the widespread use of exemptions in energy tax systems has to be sought in the fact that energy-dependent industries tend to constitute powerful lobby groups. Presumably, energy-dependent industries of small, open economies will suffer relatively strongly if taxed, and compensating them will be costly. This CGE study of the case of equalising the Norwegian electricity tax shows that compensating the energy-intensive export industries is surprisingly modest. It is explained by the role of the Nordic electricity market, which is still limited enough to respond to national energy tax reforms. Thus, electricity price reductions partly neutralise the direct impact of the tax on profits. We also examine the effects of different compensation schemes and find significant compensation cost reductions when the scheme is designed to release productivity gains.
PublisherStatistics Norway, Research Department
SeriesDiscussion Papers;No. 387
Showing items related by title, author, creator and subject.
Modellering av volatilitet i kryptovaluta – En sammenligning ved bruk av ulike GARCH-modeller / Volatility modeling of cryptocurrencies – A comparison using different GARCH models Berglund, Kim Anders; Le, Vymi Thoai Nguyen (Master thesis, 2018)Denne masteravhandlingen undersøker kryptovalutaene: Bitcoin, Ethereum, Ripple, DASH og Litecoin. Formålet var først å avdekke om variablene for etterspørsel etter informasjon, historiske begivenheter og kunngjøringer, ...
Use of models in large-area forest surveys: comparing model-assisted, model-based and hybrid estimation Ståhl, Göran; Saarela, Svetlana; Schnell, Sebastian; Holm, Sören; Breidenbach, Johannes; Healey, Sean P.; Patterson, Paul L.; Magnussen, Steen; Næsset, Erik; McRoberts, Ronald E.; Gregoire, Timothy G. (Journal article; Peer reviewed, 2016)
Comprehensive comparison of analytical wind turbine wake models with wind tunnel measurements and wake model application on performance modelling of a downstream turbine Polster, Marian Felix (Master thesis, 2017)Wake effects in wind farms can cause significant power losses. In order to reduce these losses layout and control optimization can be applied. For this purpose, simple and fast tools to predict the wake flow are needed. ...