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Recent changes to the Corporate Average Fuel Economy (CAFE) standards have created new opportunities for lowering the cost of meeting strict new standards through provisions for credit banking and trading. In this paper, we explore these new markets for reductions in both fuel consumption (fuel...
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There is an intense debate over whether fuel economy standards or fuel taxation is the more efficient policy instrument to raise fuel economy and reduce CO2 emissions of cars. The aim of this paper is to analyze the impact of standards and fuel prices on new car fuel economy with the aid of...
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