A Silver Lining? The Connection between Gasoline Prices and Obesity

Abstract:     
I find evidence of a negative association between gasoline prices and body weight using a fixed effects model with several robustness checks. I also show that increases in gas prices are associated with additional walking and a reduction in the frequency with which people eat at restaurants, explaining their effect on weight. My estimates imply that 8% of the rise in obesity between 1979 and 2004 can be attributed to the concurrent drop in real gas prices, and that a permanent $1 increase in gasoline prices would reduce overweight and obesity in the U.S. by 7% and 10%.

Keywords: obesity, weight, body weight, overweight, gasoline, gasoline prices, gas, gas prices

JEL Classifications: I10

Working Paper Series