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High diesel prices: the power of cartels or poor fiscal policy?

Ferdinand Dudenhöffer
ifo Institut, München, 2011

ifo Schnelldienst, 2011, 64, Nr. 24, 23-25

Ferdinand Dudenhöffer, CAR-Center Automotive Research at the University of Duisburg-Essen, holds the view that it is not mineral oil companies who are responsible for high diesel prices, but the arbitrary tax-breaks awarded by politicians. In other words, the high diesel price is not a result of mineral oil company cartels, but of misguided fiscal policy.

JEL Classification: H230,L110,L410

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ifo Institut, München, 2011