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Average fuel economy of purchased new light-duty vehicles by month, including projection without the program. The Car Allowance Rebate System (CARS)—“Cash for Clunkers”—gave buyers a rebate when they traded in a vehicle while purchasing a new one. Source: Sivak and Schoettle 2009. Click to enlarge. mpg in July 2009 and 0.7
The federal government’s Cash for Clunkers aims to stimulate the economy, provide relief for automobile manufacturers and reduce greenhouse gas emissions. His analysis, titled “The Implied Cost of Carbon Dioxide Under the Cash for Clunkers Program,” was published online 13 August by the University of California Energy Institute.
New research from a team at Arizona State University shows that even when receiving a big rebate from the government, consumers won’t always behave in expected ways. Carey School of Business, and Chadwick Miller, who had been at ASU and is now an assistant professor at Washington State University. Three professors in the W.
Burton Abrams and George Parsons of the University of Delaware evaluated the efficiency of the recently concluded Cash for Clunkers (CARS) program and concluded that the cost exceeds the benefit by approximately $2,000 per vehicle, or close to $1.4 billion in total.
In a recent collaborative study led by the University of Maryland (UMD), researchers found that consumers tend to buy something less fuel efficient than they normally would for their second car after buying an eco-friendly vehicle. —James Archsmith. Archsmith, J., Gillingham, K.T., Knittel, C.R. and Rapson, D.S.
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