Do car drivers respond differently to fuel price changes? Evidence from German household data
Bibliographic Data
| ID | 19338309 |
|---|---|
| Authors | Arpita Khanna (Deutsches Zentrum für Luft- und Raumfahrt e. V. (DLR)), Arpita Asha Khanna, Ilka Dubernet (0000-0003-4130-8303, Deutsches Zentrum für Luft- und Raumfahrt e. V. (DLR), corresponding author), Patrick Jochem (0000-0002-7486-4958, Deutsches Zentrum für Luft- und Raumfahrt e. V. (DLR)) |
| Year | 2025 |
| Volume | 52 |
| Issue | 2 |
| Pages | 579-613 |
| Publication date | 2025-04-01 |
| Open Access | Yes |
| Type | ARTICLE |
| Venue | Transportation (JOURNAL) |
| Journal identifiers | ISSN: 0049-4488 • E-ISSN: 1572-9435 |
| Publisher | Springer Science and Business Media LLC (PUBLISHER) |
| DOI | 10.1007/s11116-023-10431-y |
| OpenAlex | W4387576675 |
| Language | EN |
| References cited | 47 |
For cutting down greenhouse gas emissions in road transport, core economic measures are relying on the response to increasing fuel prices—i.e., the fuel price elasticity. A focal point of the effectiveness of these measures is the heterogeneity in fuel price elasticities of different vehicle users. These effects were often neglected in the transport-related literature and were only incorporated recently. The results show, however, sometimes contradicting conclusions on influencing parameters such as income, region-type or household size. In this paper, we used a pooled OLS model estimated on a German refuelling diary data set and analysed the impact of various household level characteristics on fuel price elasticities through an analysis of interaction terms and their marginal effects. This analysis provides a cornerstone in this discussion on fuel price elasticities. We found out that the overall results contrast the existing literature by identifying heterogeneity in fuel price elasticities among German households for different socio-economic and regional characteristics. The results are highly relevant for policy modellers and for introducing effective policy measures for mitigating greenhouse gas emissions in road transport
Alternative fuel vehicle · Alternative fuels · Econometrics · Economics · German · Greenhouse gas · Macroeconomics · Microeconomics · Natural resource economics · Panel data · Price elasticity of demand · Energy, Environment, and Transportation Policies · Engineering · Transportation Planning and Optimization · Vehicle emissions and performance
A review of trends and drivers of greenhouse gas emissions by sector from 1990 to 2018
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Elasticities of Road Traffic and Fuel Consumption with Respect to Price and Income
Climate Change 2022 - Mitigation of Climate Change
Drivers’ response to fuel taxes and efficiency standards
An Analysis of the Short-Run Consumer Demand for Gasoline Using Household Survey Data
Travel Demand Management Targeting Reduced Private Car Use
Improving Tests of Theories Positing Interaction
Understanding Interaction Models
In Defense of Multiplicative Terms in Multiple Regression Equations
Comparing Regression Coefficients Across Subsamples
Statistical Methods for Comparing Regression Coefficients Between Models
| Highly cited | No |
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