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May 12, 2007

Fuel Economy * USA - Back in the Saddle

... The bill also mandates a 4% annual increase in mileage for medium- and heavy-duty trucks and would mark the first time that a fuel standard had been set for trucks larger than 10,000 pounds

New York,NY,USA -The Wall Street Journal, by NICK TIMIRAOS -May 12, 2007: -- ... Congress moved closer to requiring improved mileage from car makers for the first time in two decades this past week despite heavy opposition from Detroit... Already this year, Congress has five different proposals to regulate industry with a carbon cap-and-trade regulation. And in January, California passed the first law requiring low carbon fuels from fuel providers... What alternatives could be considered? Some studies say that fuel-economy improvements alone won't curb fuel consumption because consumers will drive more miles if their cars go more miles on every gallon of fuel. So some economists favor raising the gas tax, which would give consumers an economic incentive to buy more-efficient vehicles and to drive them less... But a gas tax remains politically unpopular. Polls show that Americans overwhelmingly favor requirements for tighter fuel standards while opposing increases in the gas tax... (Photo: Gasoline in the U.S. climbed above $3 a gallon at the pump for the third straight year)

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