This document serves to update the 1995 document of the same title. In this revision, we attempt to retain the methodology as much as possible from the previous release. Regardless, some changes were introduced in this updated analysis when needed. In this revision, we find that passenger cars and light trucks are being driven farther in their lifetimes (approximately 26,000 miles more per vehicle class). However, whereas younger passenger cars (less than 20 years old) are surviving slightly longer relative to the previous study, light trucks are not surviving as long as before early on in their existence, presumably due to the fact that they are being used more often as passenger vehicles than strictly for cargo. The updated analysis shows that a typical passenger car will travel a lifetime mileage of 152,137 miles, while light trucks will travel 179,954 miles. Passenger car lifetime weighted present discount factors at 3 percent, 7 percent and 10 percent are, respectively, 0.8304, 0.6700 and 0.5824; for light trucks with the same discount rates, respectively, 0.8022, 0.6303 and 0.5419. (Author/publisher)
Abstract