1 option
Fuel Consumption and Gasoline Prices: The Role of Assortative Matching between Households and Automobiles / H. Spencer Banzhaf, Taha Kasim.
- Format:
- Book
- Author/Creator:
- Banzhaf, H. Spencer.
- Series:
- Working Paper Series (National Bureau of Economic Research) no. w22983.
- NBER working paper series no. w22983
- Language:
- English
- Physical Description:
- 1 online resource: illustrations (black and white);
- Other Title:
- Fuel Consumption and Gasoline Prices
- Place of Publication:
- Cambridge, Mass. National Bureau of Economic Research 2016.
- Summary:
- Analyses of policies to reduce gasoline consumption have focused on two effects, a compositional effect on the fuel economy of the automotive fleet and a utilization effect on how much people drive. However, the literature has missed a third effect: a matching effect, in which the policy changes how high-utilization households are matched to fuel-efficient vehicles in equilibrium. We show that higher gas prices should lead to stronger assortative matching. Empirical estimates using US micro-level data are consistent with this hypothesis. We find a $1 gas tax would reduce US gas consumption by 1.5% through the matching effect alone.
- Notes:
- Print version record
- December 2016.
The Penn Libraries is committed to describing library materials using current, accurate, and responsible language. If you discover outdated or inaccurate language, please fill out this feedback form to report it and suggest alternative language.