Can fuel-economy standards save the climate?
- July 16, 2015
- Research by Kenneth Small, economics professor, is featured in The Economist July 16, 2015
From The Economist:
Fuel-efficient cars are cheaper to drive, so people will drive more. Economists call this the rebound effect. For example, the American government assumes that this cancels at least 10 percent of expected carbon-dioxide savings, based on an influential study by Kenneth Small of the University of California, Irvine and Kurt Van Dender of the OECD, a club of rich countries.
For the full story, please visit http://www.economist.com/blogs/freeexchange/2015/07/reducing-carbon-emissions.