Study Finds U.S. Motorists Do Not Pay Their Way

A new study by Mark Delucchi, research scientist at the U.C. Davis Institute for Transportation Studies, has found that "motor-vehicle users in the U.S. -- unlike users in most European countries -- do not 'pay their way.'"

1 minute read

September 30, 2007, 11:00 AM PDT

By naparstek


In a new study entitled, "Do Motor Vehicle Users in the U.S. Pay Their Way?" Mark Delucchi, the nation's leading taxonomist of motor vehicle-related revenues and costs, finds that current tax and fee payments to the government by motor-vehicle users fall far short of government expenditures related to motor-vehicle use in the U.S..

Published in the journal, Transportation Research A, Delucchi's analysis indicates that US motorists are subsidized at a rate equal to somewhere between 20 to 70 cents per gallon of all motor fuel.

That implied subsidy, which excludes social and environmental costs such as climate damage and uncompensated crash costs, equates to 7 to 25 percent of the current price of gasoline. On a dollar basis, writes Streetsblog contributor and economist Charles Komanoff, U.S. drivers are underpaying local, state and national governments by $40 to $105 billion a year.

Thursday, September 20, 2007 in Streetsblog

Young Professional

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban and Environmental Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban and Environmental Planner

Get top-rated, practical training for planners

"Planetizen federal action tracker" logo superimposed over black and white image of US Capitol dome.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

September 23, 2026 - Zachary Whalen

Passengers board an Amtrak train under a cloudy sky.

Amtrak, CN end decades-long dispute with eight-year agreement

The new operating agreement establishes an updated framework for the companies to work together, including processes to resolve disputes.

September 18, 2026 - Mass Transit

The Gross Reservoir, a large body of water surrounded by trees and mountains.

Judges permit Denver to divert 77,000 acre feet from the Colorado River for reservoir expansion

Overuse and climate change have caused the Colorado River’s water levels to plummet.

September 18, 2026 - Inside Climate News

People walk through Philadelphia International Airport. There is a convince store on the right.

Philadelphia to invest $2 billion into upgrading city airports as PHL places last in customer satisfaction

Modernizations to Philadelphia's airports will include baggage system upgrades and a new automated parking garage guidance system.

September 23 - WHYY

A downtown area in Los Angeles, with a Taco Bell visible. People wait to cross the street towards a tall apartment building.

The LA housing policies making developers turn away from the city

Despite LA’s housing shortage, developers say the city’s "mansion-tax" and pandemic-era policies make it an unappealing place to build housing.

September 23 - Los Angeles Times

People cross a wide street in San Francisco, with tall buildings in the background.

New density bill would require 7 California cities to establish regional transit hubs

The bill would also require major cities in California to permit high-rise residential buildings.

September 23 - Smart Cities Dive