Analysis of Auto Industry and Consumer Response to Regulations and Technological Change, and Customization of Consumer Response Models in Support of AB 1493 Rulemaking: Effect of Emissions Regulation on Vehicle Attributes, Cost, and Price

AB 1493, which required the California Air Resources Board to propose rules to reduce greenhouse gas emissions of light duty vehicles in California, was signed into law July 22, 2002. This study examines industry and consumer response to government regulations, particularly as they might relate to future regulations aimed at reducing greenhouse gas emissions from vehicles. The researchers created and analyzed a large data set of vehicle characteristics, sales, prices, vehicle financing practices, as well as income, for the years between 1975 and 2003. They found that costs imposed on vehicles due to U.S. emissions and safety regulations have been significant: from $2,500 to $4,000 per vehicle. Yet they had little discernible effect on industry performance and activities, and were largely accommodated within normal business and market planning processes of companies.


  • English

Media Info

Subject/Index Terms

Filing Info

  • Accession Number: 01155579
  • Record Type: Publication
  • Source Agency: UC Berkeley Transportation Library
  • Report/Paper Numbers: UCD-ITS-RR-04-38
  • Contract Numbers: 02-310
  • Files: BTRIS, TRIS
  • Created Date: Apr 2 2010 3:14PM