Fuel economy and the price of gasoline: Evidence from fueling-level micro data q

• 成果类型: Article
• 署名作者: Knittel, Christopher R.; Tanaka, Shinsuke
• 署名单位: Massachusetts Institute of Technology (MIT); National Bureau of Economic Research; Tufts University
• 刊物名称: JOURNAL OF PUBLIC ECONOMICS
• ISSN/ISSBN: 0047-2727
• DOI: 10.1016/j.jpubeco.2021.104496
• 发表日期: 2021
• 关键词: Price elasticity of on-road fuel economy; Driving habit formation; Gasoline consumption

摘要

The short-term elasticity of gasoline consumption is determined by both vehicle distances traveled and the efficiency with which each mile is driven. Rarely is the latter observed. We use novel micro-level data on on-road fuel consumption and fuel prices in Japan to estimate both the contemporaneous and dynamic effects of gasoline prices on on-road fuel economy. Our estimate of the contemporaneous price elasticity of on-road fuel economy is approximately 0.07, suggesting that approximately 19% of the price elasticity of gasoline consumption comes from improvements in fuel-conserving behavior. We also find limited habit formation of fuel economy changes; fuel economy effectively responds only to current gasoline prices. This is consistent with substantial utility costs for behavioral adjustments in fuel saving. (c) 2021 Elsevier B.V. All rights reserved.