Meta-analysis of the income and price elasticities of gasoline demand: public policy implications for Latin America

Abstract

SUMMARYBy means of a meta-analysis, this article sets out to estimate average values for the income and price elasticities of gasoline demand and to analyse the reasons for the variations in the elasticities reported by the literature. The findings show that there is publication bias, that the volatility of elasticity estimates is not due to sampling errors alone, and that there are systematic factors explaining these differences. The income and price elasticities of gasoline demand differ between the short and long run and by region, and the estimation can appropriately include the vehicle fleet and the prices of substitute goods, the data types and the estimation methods used. The presence of a low price elasticity suggests that a fuel tax will be inadequate to control rising consumption in a context of rapid economic growth.

Does Adoption of Agricultural Innovations Impact Farm Production and Household Welfare in Sub-Saharan Africa? A Meta-Analysis

“…In addition to the WLS model, the study also employs mixed effect ML and fixed effect models with weight being the inverse of the variance of the dependent variable. This methodology is increasingly popular in MRAs in recent time (see: Galindo et al 2015, Laroche, 2016, Tokunaga and Iwasaki 2017). 5…”

“… 5 Galindo et al (2015) and Tokunaga and Iwasaki (2017) employed both the mixed effect, fixed effect and WLS models.…”

Prácticas de sostenibilidad: Retos de la cooperación entre regiones latinoamericanas

“…Sin embargo, marcadas brechas desde el contexto latinoamericano prevalecen, Galindo, et al (2015) exponen que América Latina, contribuye con el 9% de las emisiones globales, pero es particularmente vulnerable a los efectos climáticos y además la población es la más indefensa. Asimismo, consideran que el actual estilo que se impulsa desde el entorno estudiado, no representa un desarrollo sostenible como lo ejemplifican los patrones de consumo donde se observan marcadas debilidades en prácticas, que generan contaminación atmosférica, y en materia de crecimiento económico según la Comisión Económica para América Latina y el Caribe, CEPAL (2016a), han minimizado a partir de un comportamiento heterogéneo los resultados esperados en materia de sostenibilidad social, ambiental y económica, entre países y subregiones latinoamericanas.…”