The Market for Electric Vehicles: Indirect Network Effects and Policy Impacts

Li, Shanjun; Tong, Lang; Xing, Jing Tang; Zhou, Yiyi

doi:10.2139/ssrn.2515037

Cited by 17 publications

(48 citation statements)

References 23 publications

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“…Li et al . [2017] offer the first study in quantifying the role of indirect network effects in the EV market and its implications on government subsidy policies (subsidizing the charging station investment versus subsidizing EV purchase). Similar to Li et al .…”

Section: Introductionmentioning

confidence: 99%

“…Similar to Li et al . [2017], Springel [2017] quantifies indirect network effects in Norway's EV market and also finds that subsidizing charging stations is more cost‐effective than subsidizing EV purchase in the early stage of the EV diffusion process. Li [2016] focuses on the competing plug standards for charging stations and examines the impact of compatibility on investment in charging stations and consumer adoption.…”

Section: Introductionmentioning

confidence: 99%

“…While using similar data sets, the current study differs from Li et al . [2017] in three important aspects. First, the current study offers the first empirical analysis of the issues of multiple equilibria and critical mass in the EV market and their implications on regional‐specific subsidy policies and long‐run market outcomes.…”

Section: Introductionmentioning

confidence: 99%

“…In contrast, Li et al . [2017] focus on the relative cost‐effectiveness between subsidizing EV purchases and subsidizing charging station installation. Second, the empirical model in the current study is a parametric version of the theoretical model.…”

Section: Introductionmentioning

confidence: 99%

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Technology Adoption and Critical Mass: The Case of the U.S. Electric Vehicle Market

Zhou

2018

The J Industrial Economics

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The interdependence between electric vehicle (EV) adoption and charging station deployment could lead to multiple equilibria. Under certain market conditions, the issue of critical mass arises and a market failing to overcome this hurdle would revert to a no‐adoption outcome. Using panel data of EV sales and charging stations across U.S. Metropolitan Statistical Areas (MSA's), we find that more than half of the MSA's face critical mass constraints and that a subsidy policy targeting these critical‐mass constrained MSA's could be much more effective in promoting EV adoption than the current uniform policy.

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Section: Introductionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

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Technology Adoption and Critical Mass: The Case of the U.S. Electric Vehicle Market

Zhou

2018

The J Industrial Economics

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“…However, other studies using this model which have focused on infrastructure [29,30] suggest, and correlate with other literature [31][32][33], that dense charge point provision has low importance to early EV adopters. It is noted that some studies are known to have placed stronger correlation between uptake and infrastructure [34][35][36], or at least acknowledge that concerns over recharging may deter EV purchase, but this is as much related to range and recharge time as infrastructure provision. However, little evidence was found to directly regard early adopters, so we retain our supposition that it is logical that they would be more reliant on private charging provision.…”

Section: Case Study 1: the Netherlandsmentioning

confidence: 99%

Policy insights and modelling challenges: The case of passenger car powertrain technology transition in the European Union

Harrison

Thiel

2017

Eur. Transp. Res. Rev.

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Purpose We are interested in what policy insights can be transferred from EU countries that have been most successful in introducing EVs to those that are debating policy options.As we use a model to explore this, we are also interested in the application of modelling, seeking to understand if real world policies and results can be replicated in a model and, more generally, the challenges to the use of modelling in policy appraisal. Methods We use the EC-JRC Powertrain Technology Transition Market Agent Model (PTTMAM), a system dynamics model based around the interactions of conceptual market agent groups in the EU. We perform iterative scenario tests to replicate the policies carried out in the Netherlands and the UK in recent years in an attempt to achieve similar results in EV sales. We then transfer the policy scenarios to other EU member states and assess the transferability of the policies. Results Reasonable approximations of the Netherlands and UK EV policies and sales were achieved and implemented in other EU member states. Conclusion We find that the PTTMAM is fit-for-purpose and can replicate successful policies to a certain degree. Policy success is sensitive to country specific conditions, and a system dynamics model like the PTTMAM can help identify which conditions react to which policy stimulus. There are challenges to modelling in policy appraisal, such as the subjectivity of the modeller and flexibility to specific conditions, which must be kept transparent for the model to be a relevant tool for policy making.

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The Role of Government in the Market for Electric Vehicles: Evidence from China

Li¹,

Zhu²,

Ma³

et al. 2021

J Policy Anal Manage

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The Policy Research Working Paper Series disseminates the findings of work in progress to encourage the exchange of ideas about development issues. An objective of the series is to get the findings out quickly, even if the presentations are less than fully polished. The papers carry the names of the authors and should be cited accordingly. The findings, interpretations, and conclusions expressed in this paper are entirely those of the authors. They do not necessarily represent the views of the International Bank for Reconstruction and Development/World Bank and its affiliated organizations, or those of the Executive Directors of the World Bank or the governments they represent.

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The Market for Electric Vehicles: Indirect Network Effects and Policy Impacts

Cited by 17 publications

References 23 publications

Technology Adoption and Critical Mass: The Case of the U.S. Electric Vehicle Market

Technology Adoption and Critical Mass: The Case of the U.S. Electric Vehicle Market

Policy insights and modelling challenges: The case of passenger car powertrain technology transition in the European Union

The Role of Government in the Market for Electric Vehicles: Evidence from China

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