Matching Motivations and Incentives to Combat Tire Pressure Neglect

Energy efficiency plays an increasingly important role in policy because it addresses rising energy prices and the negative externalities of energy consumption from pollution. Although the development of more advanced “green” technologies is a possible long run solution, the adoption of such solutions is questionable because, even today, many conservation efforts and technologies are routinely neglected. This is particularly perplexing to researchers because the immediate personal benefits alone often outweigh the observable costs of conservation (Jaffe and Stavins, 1994; Hausman & Joskow, 1982). For example, government estimates suggest tire pressure underinflation is common, at roughly 75% of the domestic personal vehicle fleet (USDOT, 2001), even though drivers stand to benefit by facing the small cost of tire inflation: properly inflated tires can substantially improve fuel efficiency (between 2-3%) and reduce accidents by improving stopping speed and preventing tire blow-outs (NHTSA, 2005). We address this discrepancy by presenting results from a field experiment designed to test possible solutions.