Eco-friendly car policy: Targeted and spillover effects

Chenxi Li, Xueming Luo, Yiping Song, Chee Wei Phang

Research output: Chapter in Book/Conference proceedingConference contributionpeer-review

Abstract

To bolster the automobile industry while stemming environmental side-effects, governments worldwide have developed various institutional policies. In this study, we examine the effectiveness of an institutional policy-Tax-reduction for Low-emission Vehicles Policy-implemented in China automobile market. We find that the institutional policy has positive targeted effect on small-engine cars and negative spillover effect on big-engine cars. We also find the positive targeted effect was driven by sales in smaller cities, while the negative spillover effect was attributed to sales in larger metropolitan cities and occurredmostly for non-indigenous car brands.

Original languageEnglish
Title of host publicationProceedings of the 9th International Conference on Management Science and Engineering Management
EditorsVirgilio Cruz Machado, Jiuping Xu, Stefan Nickel, Asaf Hajiyev
PublisherSpringer Verlag
Pages1225-1237
Number of pages13
ISBN (Electronic)9783662472408
DOIs
Publication statusPublished - 2015
Externally publishedYes
Event9th International Conference on Management Science and Engineering Management, ICMSEM 2015 - Karlsruhe, Germany
Duration: 21 Jul 201523 Jul 2015

Publication series

NameAdvances in Intelligent Systems and Computing
Volume362
ISSN (Print)2194-5357

Conference

Conference9th International Conference on Management Science and Engineering Management, ICMSEM 2015
Country/TerritoryGermany
CityKarlsruhe
Period21/07/1523/07/15

Keywords

  • Automobile market
  • Institutional policy
  • Spillover effect
  • Targeted effect

ASJC Scopus subject areas

  • Control and Systems Engineering
  • General Computer Science

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