Fuel Taxes in Europe to Reduce Fuel Consumption

Fuel Taxes in Europe
Analysis of future light-duty transportation energy use require estimates of the impact of fuel prices on travel and fleet fuel economy, estimates of the fuel price elasticity of travel, fuel economy, and fuel consumption are ubiquitous in the literature. However, there is substantial disagreement about the magnitude of these elasticities because travel volumes, fuel economy, and fuel consumption are dependent on several variables other than fuel price and because fuel prices have tended to be volatile during the past few decades, thereby complicating attempts to estimate long-run elasticities. Thus, the magnitude of the effect of changes in fuel taxes in US on fleet fuel economy and on travel volumes and fuel consumption is also subject to considerable disagreement. (more…)

U.S Government Sponsorship For Vehicle Efficiency Technology R&D

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Although the automotive industry is a vigorous sponsor of research and development in vehicle efficiency technology—worldwide, nearly $20 billion U.S. worth in 1997—governments throughout the world sponsor additional automotive R&D, both separately from and in partnership with the industry. This work focuses primarily on four areas: emissions reduction, safety, fuels, and fuel economy. Within the past few years, government sponsorship of automotive R&D has moved sharply in the direction of attempting to advance the performance and cost-effectiveness of automotive fuel cells vehicles, which address three of the four areas: emissions, fuels, and fuel economy. (more…)