The best way to save on gas in 2019 is to avoid using gas, according to a new report from the Federal Reserve Bank of New York.
In an interview with Vice News, Dr. Jeffrey Lacker, the head of the Federal Open Market Committee, said that “lower gas prices and better fuel efficiency will help households save money,” and that it will help boost economic growth.
According to the Fed, “a modest rise in gas prices over the coming year will reduce gasoline use by about 4% and reduce fuel efficiency by roughly 6% for automobiles, trucks, light commercial vehicles, and light trucks.”
The report noted that lower fuel efficiency and a decrease in vehicle miles traveled could lead to a 3% increase in economic growth, as long as “the rate of growth remains within the target range.”
While fuel efficiency is a key metric, the Fed also noted that “the impact of this improvement is uncertain, given that the economy is likely to continue to grow as the economy continues to grow.”
The new report, “The Future of Gasoline and Diesel,” also found that the average cost of gasoline in 2019 will be lower than the average price in 2018.
The average price of a gallon of gasoline will be $2.04 per gallon, while the average retail price of gasoline for the same year will be approximately $2,000.
The average retail cost of diesel in the U.S. will be between $1.50 and $2 per gallon.
As a result of the improvements, Lacker said, the average consumer should be able to save $300-$400 per year on their monthly gas bill.
However, the new report also noted, there are still a few key challenges to the economy, including a slow recovery and an increase in the number of uninsured.
“We expect that the U-turn on fuel efficiency in the near term will continue, with lower prices and a reduction in fuel consumption that will help drive economic growth,” Lacker told Vice News.
The Federal Reserve also pointed out that fuel efficiency improvements could be seen in the energy sector, which could lead the U:s share of global CO2 emissions to decline.
Lacker said that while this would have a “major impact on global emissions,” it also has a “minimal impact on U.K. emissions,” as the country is the biggest emitter of CO2.
“Our forecasts are based on our assumption that a substantial portion of U.N. climate commitments will be made in the UK, and that the UK will be a major contributor to climate action,” Laker said.
“We are very optimistic about the UK’s climate leadership and believe that the government and the private sector will be able implement a more robust and ambitious emissions trading scheme in the coming years.”
While the Fed report said that lower energy prices and higher fuel efficiency could help boost the economy and boost consumer spending, there is still a long way to go.
For instance, Laker noted that the majority of consumers still do not have a reliable way to recharge their vehicles, as they are still buying gas and electricity from the electric grid.
The report said this will lead to “significant challenges for fuel efficiency gains in the future.”
“We do not expect to see any significant improvement in fuel efficiency for cars in the next three to five years, with the average U.C.:m[o]k using fuel costing approximately $4 per mile in 2019,” the Fed noted.
“Fuel efficiency improvements are likely to be modest for cars, as vehicle miles driven remain about three to four percent below their 2010 level,” the report noted.
“The largest gains in fuel economy in 2019 are expected to be in trucks, which are expected with an increase of about 4%.
The average diesel vehicle mileage will be about 3% below its 2010 level.”
Lacker also noted the need for more efficient cars, noting that “many of the features that make diesel great for commuting are now being used for the first time in cars.”
“Diesel cars are more fuel efficient and will be more fuel-efficient for all drivers in 2019, as we expect improvements in vehicle efficiency for drivers in all categories to be large,” Laser said.