John E. Walker Department of Economics, Clemson University
“How Much Do Consumers Value Fuel Economy and Performance? Evidence from Technology Adoption”, with Benjamin Leard and Joshua Linn, RFF Report, September 2021, forthcoming, Review of Economics and Statistics
Summary: Evaluating consumer welfare of fuel economy standards needs to consider the welfare cost of forgone performance increases. We find undervaluation of fuel cost savings and high valuation of performance, suggesting approximately zero net private consumer benefit from tightened standards since 2012.
“Regulatory Spillover and Climate Co-benefit: Evidence from New Source Review Lawsuits”, with Hei-Sing Ron Chan, Journal of Environmental Economics and Management, October 2021, Volume 110, 102545
Summary: We find New Source Review (NSR), a regulation on SO2 and NOx, has a spillover benefits on CO2. Our decomposition exercise finds that most carbon co-benefit arise from the shutdown of both coal-fired-only power plants and power-generating units.
“The Effects of Fuel Prices and Vehicle Sales on Fuel-Saving Technology Adoption in Passenger Vehicles”, with Thomas Klier and Joshua Linn, Journal of Economics & Management Strategy, 29(3), 2020: 543-578
Summary: We document two channels that drive fuel-saving technology adoption, fuel prices and sales. An increase in gas price drives carmakers to improve technology for low-fuel-economy vehicles directly as it raises WTP for fuel savings more for these vehicles. In contrast, it drives carmakers to improve technology for high-fuel-economy vehicles indirectly as it increases the sales disproportionately more for those vehicles.
Published version, [Link]; Latest version, January 2020, [PDF]; RFF Discussion Paper DP-16-26-REV Version [Link]; Previous Titled “The Effects of Fuel Costs and Market Size on Fuel-Saving Technology Adoption: Direct and Indirect Effects” and “The Effect of Market Size on Fuel-Saving Technology Adoption in Passenger Vehicles”
“The Effect of Fuel Price Changes on Fleet Demand for New Vehicle Fuel Economy”, with Benjamin Leard and Virginia McConnell, The Journal of Industrial Economics 67, no. 1, 2019: 127-159
Summary: Private companies and government agencies, or “fleet” buyers, represent a large share of new vehicle demand in the US. We find them respond to fuel price variation similar to household buyers.
“Network Propagation and Air Traffic Congestion Policies”, with Tom Lam, August 2021
“Knowledge Capital, Technology Adoption, and Environmental Policies: Evidence from the US Automobile Industry”, February 2016, [PDF]