Low Carbon Transport: Ready to Pay a Car Tax? Lithuanian Case
Keywords:low carbon economy, transport, car tax, tax incentives, survey
Paper analyses road transport indicators and citizen’s attitudes as well as willingness to pay a car tax in Lithuania. Increasing motorization rate and relatively old car fleet contribute to the increasing carbon emissions in road transport sector, despite some improvement in renewables consumption. As one of the possible policy measures to change car fleet and gain budget revenues a car tax could be applied. Respondents express some willingness to pay a car tax, however willingness to pay is much lower to compare to the intended tax. Factors like incomes and age were the predictors of willingness to pay. Ones with higher incomes were ready to pay bigger car tax. In addition, environmental awareness rising could be and good step before introducing such taxes, as well as more detail analysis of the best taxation approach is needed.
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