| dc.description.abstract | The density of motorcycles in our country is the highest in Asia. Due to the limited land area and dense population, the easy-to-use motorcycles have been the most common means of transportation, resulting in the massive number of registered motorcycles, as well as the high ownership of new and old motorcycle per hundred
people.
As the environmental problems caused by global warming becoming more and more threatening, people are paying more attention to air pollution issues around the
world. Therefore, if we can replace the old and highly-polluting motorcycles with new and more environment-friendly ones in time, it will be beneficial to alleviate the environmental impact of mobile source pollution.
Article 12-5 of the Commodity Tax Act came into force on January 8, 2016. This study uses the Difference in Difference (DID) method for research. Its sample is the
＂Survey on Motorcycle Usage” conducted by the Statistics Department of the Ministry of Transportation and Communications (MOTC) in 2014 and 2016, before and after the effective date of the Act. For the dependent variables, this study uses vehicle age; for the independent variables, it uses the mileage, average fuel consumption, annual maintenance and repair costs, gender, age and individual income per month; for the dummy variables, it uses the estimated year of usage and whether to re-purchase after disusing. In addition, regression models are constructed according to the treatment group and control group, whose classification is based on whether users will re-purchase, in an effort to estimating the influence of the abatement of commodity tax and subsidies on the reduction of old motorcycles.
Empirical findings show that when the overall vehicle age is taken as the dependent variable, the results are negative and statistical significant, indicating that after the implementation of the commodity tax cut, the purposes of promoting the replacement of old motorcycles with the new ones and reduction of old motorcycles were indeed achieved. | en_US |