Efficiency and equity of a gasoline tax increase

Journal Article · Sun Jan 01 04:00:00 EST 1989 · Energy Systems and Policy; (USA)

OSTI ID:6764450

French, M ^[1]

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1. Div. of Research and Statistics, Macroeconomic and Quantitative Studies Section, Washington, DC (US)

This article evaluates the efficiency and equity of an increase in the federal gasoline tax. Such an increase is shown to be a relatively efficient source of additional federal revenues. Near-term deadweight losses in consumer welfare would be small, the tax increase would reduce the price distortions related to pollution and congestion, and near-term income losses related to macroeconomic rigidities would be comparable to losses from alternative revenue-raising options. However, an increase in the gasoline tax would not affect equally all people with the same earning power, and it would not take less from those people with less ability to pay.

• OSTI ID: 6764450
• Journal Information: Energy Systems and Policy; (USA), Journal Name: Energy Systems and Policy; (USA) Vol. 13:2; ISSN 0090-8347; ISSN ESYPB
• Country of Publication: United States
• Language: English

Related Subjects

02 PETROLEUM
020700 -- Petroleum-- Economics
Industrial
& Business Aspects
29 ENERGY PLANNING, POLICY, AND ECONOMY
290200 -- Energy Planning & Policy-- Economics & Sociology
294002* -- Energy Planning & Policy-- Petroleum
ECONOMICS
FUELS
GASOLINE
LAWS
LIQUID FUELS
PETROLEUM PRODUCTS
POLLUTION
TAX LAWS