Would increased fuel standards in the U.S. encourage inefficient fuel consumption in third world?
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I was thinking about this problem today, and couldn't find anyone who has written about it. If you think about it, a decrease in consumption in the U.S. could lower the price of oil on the global market. This would encourage countries like India and China to use more fuel and actually increase global pollution (their vehicles typically pollute a lot more). Someone tell me where I am screwing up b/c I can't find anyone who has written about this?
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Answer:
generally true, but link between fuel prices around the world is weakened by many developing countries subsidizing fuel to keep it cheap.
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