Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/50402
Authors: 
Dreher, Axel
Krieger, Tim
Year of Publication: 
2007
Series/Report no.: 
KOF working papers // Konjunkturforschungsstelle, Eidgenössische Technische Hochschule Zürich 182
Abstract: 
We empirically analyze convergence of European producer and consumer prices for diesel fuel and investigate the role of excise taxation. By comparing the speed of convergence of prices and taxes we find a surprisingly fast speed of convergence for consumer prices. While this can in part be explained by fuel tourism, the main driving force is producer price dynamics. Tax convergence contributes weakly to price convergence, but the overall effect is to slow down consumer relative to producer price convergence.
Subjects: 
price convergence
diesel
international taxation
European integration
panel unit roots
JEL: 
F15
H73
Q48
C23
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

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