Assessing environmental policies in Japanese car market based on the structural econometric model of automobile replacement

2015 Fiscal Year Final Research Report

• Project/Area Number: 25780159
• Research Category: Grant-in-Aid for Young Scientists (B)
• Allocation Type: Multi-year Fund
• Research Field: Economic policy
• Research Institution: Hitotsubashi University
• Principal Investigator: KITANO Taiju 一橋大学, 大学院商学研究科, 特任准教授 (70553444)
• Project Period (FY): 2013-04-01 – 2016-03-31
• Keywords: 政策評価 / 環境政策 / 買替行動 / 構造推定 / 自動車市場

Outline of Final Research Achievements

This study examines subsidy and tax incentives for the promotion of eco-friendly cars in Japan from 2005 to 2009 by using the structural econometric model of oligopolistic competition. To assess the scrap incentives in the subsidy policy, consumers' automobile replacement behavior is modeled explicitly. In the analyses, I focus on a Japanese subsidy policy on the promotion of eco-friendly cars introduced in 2009, and assess whether the policy was designed to achieve environmental goal efficiently. Cost-effectiveness analyses based on a structural econometric model of oligopolistic competition indicate the inefficiency: a fuel economy standard for the subsidy qualification was too lax from the environmental policy perspective.

Free Research Field

産業組織論