• International Commerce and Information Review
• /
• v.16 no.4
• /
• pp.247-261
• /
• 2014

In this study, it investigates the highly controversial issue "low carbon car subsidy". Through the policy's intent, purpose, and necessity, it aims to present alternatives for automotive industry development. Introducing the low carbon car subsidy will bring a huge change to the vehicle purchase practices by changing vehicle purchase cost. It expects that this change will reduce greenhouse gas emission from vehicles. For successful settlement of the system, it shall set up the target sections for subsidy and levy appropriately in order to get the nation's consensus. Additionally, it has to conduct sufficient reviews the measures such as adjustment to the existing auto tax, divided payments of burden charge, etc before enforcing the system. In terms of the automobile industry, it must do their level best in technical development in order to meet the carbon dioxide emission level of imported cars until the enforcement. Also, the government has to strengthen its support to the industry.

• Cement
• /
• s.203
• /
• pp.18-21
• /
• 2014

한국경제연구원(원장 : 권태신)은 지난 7월 16일 여의도 FKI타워 컨퍼런스센터에서 '배출권거래제와 저탄소차협력금제도: 개선방향의 모색'이라는 주제로 세미나를 개최했다. 이번 세미나는 배출권거래제와 저탄소차협력금제도가 초래할 경제적 사회적 문제를 짚어보고 개선방향을 논의하고자 마련됐다. 여기서는 이번 세미나의 주요 발표내용을 요약해 게재한다.

• Journal of Environmental Policy
• /
• v.14 no.4
• /
• pp.23-44
• /
• 2015

The policy aimed at introducing a Bonus-Malus system to reduce GHG and raise the market share of small cars is scheduled to go into effect in South Korea in 2020. Although the policy was originally planned to be enforced from 2015, the Ministry of Trade, Industry and Energy argued that the system brings low reduction effect and relative disadvantage to domestic small cars and brought arguments in 2014. As a result, the enforcement was pushed back. Related studies are mainly focused on offering statistical estimation of the policy's effect to support the arguments, and few theoretical studies were published given that there was not enough time until 2015 back then. The author approached the issue with mathematical modeling in order to give theoretical basis for sophisticated empirical studies. If car suppliers have market power and strategically set their prices, the impact of Bouns-Malus on car prices would be lower than what was originally intended. In case only a part of the car market loses its market power, the effect of the policy would be improved. Assume that the Bonus-Malus is currently at an optimal level and the car market structure is undergoing changes, then the direction of the new optimal level would depend on the elasticity of demand of each market and substitute elasticity. For example, if the car market becomes more monopolistic while the demand for big cars is elastic, demand for small cars is inelastic and substitution elasticity is low, then the new optimal level of Bonus-Malus should be higher.