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1) you answered it with your last sentence, that's what it does.
2) up to you
3) of you go easy, than none. if you have too much fun... u'll pay for it.... gas wise.
Changes throttle response, and gear change point - in other words, hangs onto each gear more, and slightly less lag on the throttle pedal.
Snow does the opposite for those with a lead (Pb) right foot.
highway driving is where you are going to get your best MPG anyway because you dont have a lot of stopping and going. you can get better gas mileage with the ECT button but just like any other MPG thread, it all depends on your driving habits.