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Demand for gasoline and diesel fuel by farmers in the USA

Noel D. Uri, Mohinder Gill

Open publisher page 8 citations

Abstract

This study endeavours to determine whether farmers in the USA adjust their consumption of gasoline and diesel fuel in response to changes in the relative prices of different types of energy. A demand model is specified and estimated. The conclusions suggest that the price of gasoline (diesel fuel) is a factor impacting the quantity of gasoline (diesel fuel) demanded by farmers, but there is no indication that other types of energy are substitutes for gasoline (diesel fuel). Additionally, the level of farming activity is a very important factor driving the demand for gasoline (diesel fuel). Finally, the estimated models of gasoline and diesel fuel demand are structurally stable over the period 1971–1988.

About this research paper

What this paper is about

This study endeavours to determine whether farmers in the USA adjust their consumption of gasoline and diesel fuel in response to changes in the relative prices of different types of energy. A demand model is specified and estimated. The conclusions suggest that the price of gasoline (diesel fuel) is a factor impacting the quantity of gasoline (diesel fuel) demanded by farmers, but there is no indication that other types of energy are substitutes for gasoline (diesel fuel). Additionally, the level of farming activity is a very important factor driving the demand for gasoline (diesel fuel). Finally, the estimated models of gasoline and diesel fuel demand are structurally stable over the period 1971–1988.

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OpenAlex reports 8 citations for this work. Citation counts describe recorded attention and do not establish research quality.

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Available abstract

This study endeavours to determine whether farmers in the USA adjust their consumption of gasoline and diesel fuel in response to changes in the relative prices of different types of energy. A demand model is specified and estimated. The conclusions suggest that the price of gasoline (diesel fuel) is a factor impacting the quantity of gasoline (diesel fuel) demanded by farmers, but there is no indication that other types of energy are substitutes for gasoline (diesel fuel). Additionally, the level of farming activity is a very important factor driving the demand for gasoline (diesel fuel). Finally, the estimated models of gasoline and diesel fuel demand are structurally stable over the period 1971–1988.

Key concepts: Diesel fuel, Gasoline, Fuel efficiency, Winter diesel fuel, Environmental science, Alcohol fuel, Waste management, Engineering

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