British Columbia's carbon tax was introduced in 2008 and reached its current level of $30 per tonne of carbon dioxide in 2012. Per-capita gasoline demand in B.C. Has decreased by about 15% between 2007 and 2014. Is this decline attributable to BC's carbon tax and other fuel taxes? This paper...

To what extent do car buyers undervalue future fuel costs, and what does this imply for the effectiveness of alternative tax policies? To address both questions, we show it is crucial to account for consumer heterogeneity in mileage and other dimensions. We use detailed product-level data for a...

The existing tax policies toward gasoline and diesel cars in European countries provide a unique opportunity to analyze quality-based price discrimination and the implied tax incidence. In my econometric framework, consumers choose the type of engine based on their annual mileage; prices are set...