News Digest Item
17 Aug 2016

“Economists do not think much of Gabriel's fuel tax”

Die Welt

Germany’s Federal Ministry for Economic Affairs and Energy has ignited a storm with the recent publication of its Green Paper on increasing energy efficiency, Philipp Vetter writes in Die Welt. The paper proposed a flexible energy tax to counteract falling oil prices. Economists such as Thomas Puls of the Cologne Institute for Economic Research are not convinced, however: “I am skeptical about the proposal.” Higer prices at the petrol station have in the past had little impact on driving habits due to the fact that many drivers have to drive a certain amount of kilometres every day and therefore end up using the same amount of petrol or diesel, Puls said.

Read the article in German here.

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