A recent article in this journal (Kouris, Vol. 5, No. 2, April 1983) econometrically estimated the relationship between US car and truck fuel economy and the price of fuel, without considering the effect of legally mandated fuel economy standards for new vehicles. There is considerable evidence that the standards have played an important role in recent fuel economy improvements. An alternative approach to estimating the fuel price responsiveness of new vehicle fuel economy based on vehicle sales data and capital operating cost trade-off analysis of fuel-efficient vehicle design and technology suggests short-and long-run elasticities in the vicinity of 0.25 and 0.5, respectively. Kouris responds that the authors over emphasize the effect of new-car standards and neglect the free market price mechanism.

  • Availability:
  • Corporate Authors:

    Butterworth Scientific Limited

    Journals Division, P.O. Box 63, Westbury House, Bury
    Guildford, Surrey  England  GU2 5BH
  • Authors:
    • Greene, D L
    • Roberts, G F
  • Publication Date: 1984-4

Media Info

  • Pagination: p. 145-148
  • Serial:
    • Energy Economics
    • Issue Number: 2
    • Publisher: Butterworth Scientific Limited
    • ISSN: 0140-9883

Subject/Index Terms

Filing Info

  • Accession Number: 00389140
  • Record Type: Publication
  • Source Agency: Energy Research Abstracts
  • Contract Numbers: W-7405-ENG-26
  • Files: TRIS
  • Created Date: Oct 30 1984 12:00AM