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Article: A reexamination of resource allocation responses to the 65-mph speed limit
- Article from:
- Economic Inquiry
- Article date:
- April 1, 2002
- Author:
CopyrightCopyright Western Economic Association Apr 2002. Provided by ProQuest LLC. (Hide copyright information)
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In a recent issue of Economic Inquiry (35[3]: 614-20) Lave and Elias (1997) contend that the 1987 increase in speed limits to 65 mph on rural interstate roads caused a reduction in statewide fatality rates. They argue that increased fatality rates on rural interstates were counterbalanced by declines on other roads due to compensatory reallocations of drivers and state police. This article is unable to find any empirical evidence of these reallocations. This removes the empirical basis for their hypothesis and implies that the effect of the 65-mph speed limit can be inferred from an analysis of rural interstates only. On these roads, fatality rates increased dramatically. (JEL A10, R40)
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Article: Flagrant speeders represent a special danger; Even on ...
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582 words
...Have you driven Interstate 80 in Iowa the past few months? If so, you had to have noticed that the speed limit is now 70 miles per hour along rural stretches (which is most of the state). It's been that way since July 1, when the 5-mph increase went into effect. (At the same time, Iowa doubled the
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