Automobile Fuel Economy Standards: Impacts, Efficiency, and Alternatives
This paper discusses fuel economy regulations in the United States and other countries. We first describe how these programs affect fuel use and other dimensions of the vehicle fleet. We then review different methodologies for assessing the costs of fuel economy regulations and discuss the policy implications of the results. We also compare the welfare effects of fuel economy standards with those of fuel taxes and assess whether these two policies complement each other. Finally, we review arguments in favor of a “feebate” system, which imposes fees on inefficient vehicles and provides rebates for efficient vehicles.
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Steve Newbold & Charles Griffiths & Christopher C. Moore & Ann Wolverton & Elizabeth Kopits, 2010. "The "Social Cost of Carbon" Made Simple," NCEE Working Paper Series 201007, National Center for Environmental Economics, U.S. Environmental Protection Agency, revised Aug 2010.
- Fischer, Carolyn, 2005. "On the importance of the supply side in demand-side management," Energy Economics, Elsevier, vol. 27(1), pages 165-180, January.
- Fischer, Carolyn, 2008. "Comparing flexibility mechanisms for fuel economy standards," Energy Policy, Elsevier, vol. 36(8), pages 3106-3114, August.
- Brown, Stephen P.A. & Huntington, Hillard G., 2010. "Reassessing the Oil Security Premium," Discussion Papers dp-10-05, Resources For the Future.
- West, Sarah E., 2004. "Distributional effects of alternative vehicle pollution control policies," Journal of Public Economics, Elsevier, vol. 88(3-4), pages 735-757, March.
- Philippe Barla & Stef Proost, 2008. "Automobile fuel efficiency policies with international innovation spillovers," Working Papers Department of Economics ces0817, KU Leuven, Faculty of Economics and Business, Department of Economics.
- Greene, David L. & Patterson, Philip D. & Singh, Margaret & Li, Jia, 2005. "Feebates, rebates and gas-guzzler taxes: a study of incentives for increased fuel economy," Energy Policy, Elsevier, vol. 33(6), pages 757-775, April.
- Soren T. Anderson & James M. Sallee, 2009.
"Using Loopholes to Reveal the Marginal Cost of Regulation: The Case of Fuel-Economy Standards,"
0901, Harris School of Public Policy Studies, University of Chicago.
- Soren T. Anderson & James M. Sallee, 2011. "Using Loopholes to Reveal the Marginal Cost of Regulation: The Case of Fuel-Economy Standards," American Economic Review, American Economic Association, vol. 101(4), pages 1375-1409, June.
- Richard S. J. Tol, 2009. "The Economic Effects of Climate Change," Journal of Economic Perspectives, American Economic Association, vol. 23(2), pages 29-51, Spring.
- Christopher R. Knittel, 2009.
"Automobiles on Steroids: Product Attribute Trade-Offs and Technological Progress in the Automobile Sector,"
NBER Working Papers
15162, National Bureau of Economic Research, Inc.
- Christopher R. Knittel, 2011. "Automobiles on Steroids: Product Attribute Trade-Offs and Technological Progress in the Automobile Sector," American Economic Review, American Economic Association, vol. 101(7), pages 3368-99, December.
- Aldy, Joseph E. & Krupnick, Alan J. & Newell, Richard G. & Parry, Ian W.H. & Pizer, William A., 2009.
"Designing Climate Mitigation Policy,"
dp-08-16, Resources For the Future.
- James A. Kahn, 1986. "Gasoline Prices and the Used Automobile Market: A Rational Expectations Asset Price Approach," The Quarterly Journal of Economics, Oxford University Press, vol. 101(2), pages 323-339.
- Thomas Klier & Joshua Linn, 2012.
"New‐vehicle characteristics and the cost of the Corporate Average Fuel Economy standard,"
RAND Journal of Economics,
RAND Corporation, vol. 43(1), pages 186-213, 03.
- Thomas H. Klier & Joshua Linn, 2008. "New vehicle characteristics and the cost of the corporate average fuel economy standard," Working Paper Series WP-08-13, Federal Reserve Bank of Chicago.
- Antonio M. Bento & Lawrence H. Goulder & Mark R. Jacobsen & Roger H. von Haefen, 2009.
"Distributional and Efficiency Impacts of Increased US Gasoline Taxes,"
American Economic Review,
American Economic Association, vol. 99(3), pages 667-99, June.
- Bento, Antonio M. & Goulder, Lawrence H. & Jacobsen, Mark R. & von Haefen, Roger H., 2007. "Distributional and Efficiency Impacts of Increased U.S. Gasoline Taxes," Working Papers 127021, Cornell University, Department of Applied Economics and Management.
- West, Sarah E. & Williams, R.C.Roberton III, 2004.
"Estimates from a consumer demand system: implications for the incidence of environmental taxes,"
Journal of Environmental Economics and Management,
Elsevier, vol. 47(3), pages 535-558, May.
- Sarah E. West & Roberton C. Williams III, 2002. "Estimates from a Consumer Demand System: Implications for the Incidence of Environmental Taxes," NBER Working Papers 9152, National Bureau of Economic Research, Inc.
- Shanjun Li, 2012.
"Traffic safety and vehicle choice: quantifying the effects of the ‘arms race’ on American roads,"
Journal of Applied Econometrics,
John Wiley & Sons, Ltd., vol. 27(1), pages 34-62, 01.
- Li, Shanjun, 2009. "Traffic Safety and Vehicle Choice: Quantifying the Effects of the "Arms Race" on American Roads," Discussion Papers dp-09-33, Resources For the Future.
- Sarah E. West & Roberton C. Williams III, 2005. "The Cost of Reducing Gasoline Consumption," American Economic Review, American Economic Association, vol. 95(2), pages 294-299, May.
- Austin, David & Dinan, Terry, 2005. "Clearing the air: The costs and consequences of higher CAFE standards and increased gasoline taxes," Journal of Environmental Economics and Management, Elsevier, vol. 50(3), pages 562-582, November.
- Fischer, Carolyn, 2010. "Imperfect Competition, Consumer Behavior, and the Provision of Fuel Efficiency in Light-Duty Vehicles," Discussion Papers dp-10-60, Resources For the Future.
- Richard S. J. Tol, 2010.
"The Economic Impact of Climate Change,"
Perspektiven der Wirtschaftspolitik,
Verein für Socialpolitik, vol. 11(s1), pages 13-37, 05.
- Parry, Ian & Fischer, Carolyn & Harrington, Winston, 2004. "Should Corporate Average Fuel Economy (CAFE) Standards Be Tightened?," Discussion Papers dp-04-53, Resources For the Future.
- Dominika Kalinowska & Kerim Keser & Uwe Kunert, 2009. "CO2 Based Taxation on Cars Is Rising in Europe," Weekly Report, DIW Berlin, German Institute for Economic Research, vol. 5(23), pages 159-170.
When requesting a correction, please mention this item's handle: RePEc:rff:dpaper:dp-10-45. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Webmaster)
If references are entirely missing, you can add them using this form.