Fuel tourism in border regions
the case of Switzerland
Additional information
Authors
Banfi S.,
Filippini M.,
Hunt L. C.
Type
Journal Article
Year
2005
Language
English
Abstract
This paper explores the issue of ‘fuel tourism’ in Switzerland. For the period 1985 to 1987, a panel data model for the border regions of Switzerland, (Italy, France, and Germany) is estimated. The results show a significant impact of the gasoline price differential on demand, suggesting that a decrease of 10% in the Swiss gasoline price leads to a reduction in demand in the border areas of nearly 17½%. It is shown that fuel tourism accounted for about 9% of overall gasoline sales in the three regions during the period 1985 to 1997 and that the recently proposed Swiss CO2-tax might, given current conditions, eliminate net fuel tourism.
Keywords
Fuel Tourism, gasoline price differentials, panel data estimation
Journal
Energy Economics
Volume
27
Number ( Month )
5
Pages (or article number)
689-707
Diffusion
License
License undefined
Visibility
Public
Status open access
Green
