TITLE:
Development of Charging Infrastructure and Subsidies for Promoting Electric Vehicles
AUTHORS:
Kiyoshi Arakawa
KEYWORDS:
Electric Vehicles, Charging Infrastructure, Innovations, Subsidies, Multiple-Period Models
JOURNAL NAME:
Theoretical Economics Letters,
Vol.8 No.11,
August
2,
2018
ABSTRACT: This paper clarifies an effect of policy on the
development of charging infrastructure and subsidies for promoting electric
vehicles (EVs). Due to the long-term function of charging infrastructure, this
paper constructs a multiple-period model to analyze policy effects on the
diffusion of EVs from a long-term perspective. This paper shows that charging infrastructure
and subsidy encourage innovation on increasing the battery capacity of EVs.
Because intertemporal cost allocation can be executed in the development of a
charging infrastructure with a subsidy, a policy with a long-term perspective
can enhance the charging infrastructure and promote EVs effectively.