All i wanted to know is why cars for say the UK market, get so much better fuel economy then cars for the US market.
The reason is because we don't have high taxes on gasoline in the US, which I'll explain below:
The US has lower standards when it comes to gas milage. In fact, I may be wrong, but we might have one of the lowest standards.
On the contrary, gas mileage standards in the US are high, yet, in extreme irony, we have the worst performing vehicles. Why? The reason is a lack of taxation on gasoline.
See, the CAFE standards introduced in 1975 enacted some basic fuel economy standards, and have been gradually upgraded since then. One would expect that this would lead to more fuel efficient cars on the road. Instead, car manufacturers add the cost of conforming to CAFE standards onto the price of a new car. This makes buying a new car seem more expensive, and makes consumers hold onto their older vehicles for longer.
Simultaneously, there is cheap fuel in the US because we have very little in the way of taxes on gasoline. Even in CA which has very high taxes on fuel relative to the rest of the US, gas is cheap. It is half the cost it would be in other developed nations. This means that consumers can afford to keep older and inefficient vehicles on the road for longer, and hence consume more fuel while pollute more at the same time.
If you want to know more, read a book by
David Vogel. He's written several on the subject and is still doing research on the environmental policies of the US and the rest of the developed world.
He's also a very good lecturer.
Now that would disagree with a post from above, where the person stated that American has tighter restrictions than Europe. I would really like to see the facts on that one.
Again, read some stuff by Vogel. He's research is really very interesting.