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A Note on Petrol Versus Diesel Transport An Assessment of a Policy Option

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Title: A Note on Petrol Versus Diesel Transport An Assessment of a Policy Option

Authors: Abdul Majeed

Journal: The Pakistan Development Review

HEC Recognition History
Category From To
Y 2023-07-01 2024-09-30
Y 2022-07-01 2023-06-30
Y 2021-07-01 2022-06-30
X 2020-07-01 2021-06-30
Y 1900-01-01 2005-06-30

Publisher: Pakistan Institute of Development Economics

Country: Pakistan

Year: 1977

Volume: 16

Issue: 3

Language: English

DOI: 10.30541/v16i3pp.336-344

Categories
Public Policy (3662) Energy Economics (489) Environmental Economics (1085) Economics (27414) Transportation Economics (14)

Abstract

The policy of higher tax on petrol than on diesel gasoline encourages diesel transport. This may cause distortion and suboptimal allocation. This note is aimed at testing this hypothesis empirically. The First section briefly des¬cribes the petrol versus diesel argument. In the Second section cost compari¬sons are made for two petrol and diesel vehicles of comparable performance. The conclusion and policy options are discussed in the Third section.

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