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Will a kilometre tax in Sweden affect its sawmill industry? A note
Institution:1. Tokyo Power Technology Ltd., Toyosu Arban Point Bldg, 4F 5-5-13 Toyosu, Koto-ku, Tokyo 135-0061, Japan;2. University of Toyama, 3190 Gofuku, Toyama 930-8555, Japan
Abstract:The paper offers quantitative ‘worst case’ assessments of expected effects of a kilometre tax in Sweden covering the sawmill industry using available price elasticities. The results, assuming that sawmills pay the whole tax burden, indicate that production losses in the industry would follow the implementation of such a tax.
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