Date:         Wed, 26 Apr 1995 17:34:22 -0500 (CDT)
Sender:       Vanagon Mailing List <vanagon@vanagon.com>
From:         dakhlia@wuecona.wustl.edu (Sami Dakhlia)
Subject:      Re: Octane ratings

>	I figure gasoline is like most things- if there's a modest difference
>in price, the manufacturer is very often selling a markedly better product
>for the small increment. This sure holds true for food (Compare cheap
>peanut butter to good stuff, or cheap vegetables to good organics...).
>The bottom of any market is price driven, and the top is features and
>customer relations driven. VWs were never the cheapest cars to buy
>or to own, although they were arguably the best buy for many years.

Unlike peanut butter, where you really need just one scoop to test/taste
it, the effects of octane rating on the longevity of old VW engines aren't
as crisp and clear (not true for a Honda, where low octane is immediately
felt). Information is diffuse and that's why the question is brought up on
this list. Fact is that VW suggests that low octane fuel is permissible.
But we, the consumers, like the extra safety that comes with higher octane
fuels, especially for our old, no longer pristine, engines.

(Isn't it amazing how being an economist gives you the ability to BS about
things we know nothing about and yet sound oh so knowledgeable? :-) ) Sami

-- 
Sami Dakhlia
Dept. of Economics
Washington-University-in-St.Louis	
dakhlia@wuecona.wustl.edu