An optimal U.S. biodiesel fuel subsidy

dc.contributor.author	Wu, H	en
dc.contributor.author	Colson, G	en
dc.contributor.author	Escalante, C	en
dc.contributor.author	Wetzstein, M	en
dc.date.accessioned	2014-06-06T06:51:38Z
dc.date.available	2014-06-06T06:51:38Z
dc.date.issued	2012	en
dc.identifier.issn	03014215	en
dc.identifier.uri	http://dx.doi.org/10.1016/j.enpol.2012.05.063	en
dc.identifier.uri	http://62.217.125.90/xmlui/handle/123456789/5606
dc.subject	Biodiesel	en
dc.subject	Subsidy	en
dc.subject	Tax	en
dc.subject.other	Bio-diesel fuel	en
dc.subject.other	Economic development	en
dc.subject.other	Environmental quality	en
dc.subject.other	Federal excise tax	en
dc.subject.other	Fuel security	en
dc.subject.other	Petroleum diesel	en
dc.subject.other	Price response	en
dc.subject.other	Subsidy	en
dc.subject.other	Tax	en
dc.subject.other	Biodiesel	en
dc.subject.other	Costs	en
dc.subject.other	Optimization	en
dc.subject.other	Taxation	en
dc.subject.other	Fuels	en
dc.subject.other	alternative fuel	en
dc.subject.other	biofuel	en
dc.subject.other	economic development	en
dc.subject.other	federal system	en
dc.subject.other	optimization	en
dc.subject.other	tax system	en
dc.subject.other	United States	en
dc.title	An optimal U.S. biodiesel fuel subsidy	en
heal.type	journalArticle	en
heal.identifier.primary	10.1016/j.enpol.2012.05.063	en
heal.publicationDate	2012	en
heal.abstract	Enhanced environmental quality, fuel security, and economic development, along with reduced prices of blended diesel, are often used as justifications for a U.S. federal excise tax exemption on biodiesel fuels. However, the possible effect of increased overall consumption of fuel in response to lower total prices, mitigating the environmental and fuel security benefits, are generally not considered. Taking this price response into account, the optimal U.S biodiesel subsidy is derived. Estimated values of the optimal subsidy are close to the recently expired subsidy, revealing the subsidy's environmental and security benefits. However, further positive environmental and security benefits from the biodiesel tax-exemption subsidy may be obtained if the subsidy is combined with a federal excise tax on petroleum diesel. © 2012 Elsevier Ltd.	en
heal.journalName	Energy Policy	en
dc.identifier.volume	48	en
dc.identifier.doi	10.1016/j.enpol.2012.05.063	en
dc.identifier.spage	601	en
dc.identifier.epage	610	en