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The Effects of Market Size and Fuel Costs on Fuel-Saving Technology Adoption in Passenger Vehicles

Passenger vehicle fuel economy standards require substantial new vehicle fuel economy improvements over the next decade. We demonstrate a strong link between a vehicle's market size (sales) and automakers' adoption of fuel-saving technology.

Working Paper by Thomas Klier, Joshua Linn, and Yichen Zhou — Dec. 13, 2016

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