Formative Experiences and the Price of Gasoline

@article{Severen2019FormativeEA,
  title={Formative Experiences and the Price of Gasoline},
  author={Christopher Severen and Arthur A. van Benthem},
  journal={Macroeconomics: Prices},
  year={2019}
}
Formative experiences shape behavior for decades. We document a striking feature about those who came of driving age during the oil crises of the 1970s—they drive less in the year 2000. The effect is not specific to these cohorts; price variation over time and across states indicates that gasoline price changes between ages 15–18 generally shift later-life travel behavior. Effects are not explained by recessions, income, or costly skill acquisition and are inconsistent with recency bias, mental… 

Driving Behavior and the Price of Gasoline: Evidence from Fueling-Level Micro Data

We use novel microdata on on-road fuel consumption and prices paid for fuel in Japan to estimate short-run price elasticities of demand for gasoline consumption. We have three main findings. First,

Stuck in the Seventies: Gas Prices and Consumer Sentiment

Abstract Using daily consumer survey data, we analyze the transmission of gas prices to consumer beliefs and expectations about the economy. We exploit the high frequency and geographic

Foreclosure Kids: Examining the Early Adult Credit Usage of Adolescents Affected by Foreclosure

We investigate the long-term effects of foreclosure-induced relocations on adolescents and their subsequent use of credit. We ask whether individuals who experience a foreclosure-induced move between

Fuel economy and the price of gasoline: Evidence from fueling-level micro data

Shaping the Habits of Teen Drivers

Teens are risky drivers and often subject to extra restrictions. We examine the effects of an Australian intervention banning first-year drivers from carrying multiple passengers between 11:00pm and

Measuring Long-Run Gasoline Price Elasticities in Urban Travel Demand

This paper develops a structural model of urban travel to estimate long-run price elasticities. A dynamic discrete choice demand model with switching costs is estimated, using a panel dataset with

Driving, Dropouts, and Drive-throughs: Mobility Restrictions and Teen Outcomes∗

THIS DRAFT IS PRELIMINARY; PLEASE DO NOT CITE OR SHARE WITHOUT AUTHOR PERMISSION. We provide evidence that graduated driver licensing (GDL) laws, originally intended to improve public safety, impact

Driving, Dropouts, and Drive-throughs: Mobility Restrictions and Teen Human Capital ∗

We provide evidence that graduated driver licensing (GDL) laws, originally intended to improve public safety, impact both high school completion and teen employment. Many teens use automobiles to

What is the effect of EU's fuel-tax cuts on Russia's oil income?

: Following the oil- price surge in the wake of Russia’s invasion of Ukraine, many countries in the EU are proposing to cut taxes on petrol and diesel. Using standard theory and empirical estimates,

The effect of European fuel-tax cuts on the oil income of Russia

Following Russia’s invasion of Ukraine, there has been a surge in transport fuel prices. Consequently, many European Union (EU) countries are cutting taxes on petrol and diesel to shield consumers.

References

SHOWING 1-10 OF 101 REFERENCES

Scarred Consumption

We show that economic downturns can "scar" consumers in the long-run. Having lived through times of high unemployment consumers remain pessimistic about the future financial situation and spend

The Intergenerational Transmission of Automobile Brand Preferences

We document a strong correlation in the brand of automobile chosen by parents and their adult children, using data from the Panel Study of Income Dynamics. This correlation could represent

Growing up in a Recession

Does the historical macroeconomic environment affect preferences for redistribution? We find that individuals who experienced a recession when young believe that success in life depends more on luck

The Long-Run Effects of Recessions on Education and Income

  • B. Stuart
  • Economics
    SSRN Electronic Journal
  • 2019
This paper examines the long-run effects of the 1980–1982 recession on education and income. Using confidential census data, I estimate difference-in-difference regressions that exploit variation

Historical Causes of Postwar Oil Shocks and Recessions

Turbulent petroleum markets and poor economic performance have been making headlines for the last decade. Three major oil shocks (1973-1974, 1979, and 1980-1981) have each been followed by major

Driving Behavior and the Price of Gasoline: Evidence from Fueling-Level Micro Data

We use novel microdata on on-road fuel consumption and prices paid for fuel in Japan to estimate short-run price elasticities of demand for gasoline consumption. We have three main findings. First,

Understanding the Long‐Run Decline in Interstate Migration

We analyze the secular decline in gross interstate migration in the United States from 1991 to 2011. We argue that migration fell because of a decline in the geographic specificity of returns to

Depression Babies: Do Macroeconomic Experiences Affect Risk-Taking?

We investigate whether individuals' experiences of macro-economic outcomes have long-term effects on their risk attitudes, as often suggested for the generation that experienced the Great Depression.

Generational Trends in Vehicle Ownership and Use: Are Millennials Any Different?

Anecdotes that Millennials fundamentally differ from prior generations are numerous in the popular press. One claim is that Millennials, happy to rely on public transit or ride-hailing, are less
...