Why the Market for New Passenger Cars Generally Undervalues Fuel Economy

The energy efficiency of new vehicles is determined, in part, by how the market values them. This has significant implications for petroleum consumption and carbon dioxide emissions, as well as for the choice of environmental mitigation policies. This paper reviews recent studies and theories regarding evaluations by consumers of fuel economy, and concludes that markets undervalue fuel efficiency and fuel economy in relation to the expected present value.

• Record URL:
  http://www.internationaltransportforum.org/jtrc/DiscussionPapers/DP201006.pdf
• 
• Authors:
  • Green, David
• Conference:
  • ITF/OECD Round Table: Stimulating Low-Carbon Vehicle Technologies
  • Location: Paris , France
  • Date: 2010-2-18 to 2010-2-19
• Publication Date: 2010

Language

• English

Media Info

• Media Type: Web
• Features: Figures; References; Tables;
• Pagination: 29p

Subject/Index Terms

• TRT Terms: Consumer behavior; Economic impacts; Exhaust gases; Fuel consumption; Market value; Passenger vehicles
• Uncontrolled Terms: Average fuel economy; Environmental mitigation
• Subject Areas: Economics; Energy; Highways; I90: Vehicles;

Filing Info

• Accession Number: 01159651
• Record Type: Publication
• Report/Paper Numbers: 2010-6
• Files: TRIS
• Created Date: Jun 24 2010 7:28AM