Yes. Studies have shown that using the air conditioner with the windows up in a car can decrease fuel efficiency by up to 10%. To make matters more complicated, however, driving at high speeds (above 45mph) with the windows down instead of air conditioning causes drag and can also decrease fuel efficiency by 10%. Once you get over 55mph it can decrease efficiency by up to 20%. So perhaps as a rule of thumb, if you are city driving try to keep the windows down. If you are on the highway keep the windows up, use AC if you have to but if not, all the better.
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