The study is concerned with the effects of governmental policy options for conserving gasoline and improving air quality on the families that own and operate automobiles in the United States. The pattern of household effects across income groups is determined, and the various actions that the families may take to alleviate these effects are investigated. Five major findings include the following: (1) Since the wealthier half of the households in the United States account for almost three-fourths of total household gasoline consumption, the policies for reducing national gasoline consumption must be targeted primarily on these middle and upper income families. (2) Since poorer households spend a significantly greater percentage of their income on gasoline than more affluent families, the gasoline tax, and all increases in it, are regressive. (3) The several options available for offsetting automobile travel cost increases which do not reduce auto trips or total mileage include deferring maintenance and driving older cars. (4) More affluent families can offset larger cost increases than poorer families without reducing their total personal travel. (5) The most valuable option open to most families is to purchase cars with greater fuel economy.


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    Economic Impact of Automobile Travel Cost Increases on Households

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