Study author Dr Joris Verster said the magnitude of driving impairment was higher than that observed with a BAC of 0.05 per cent, which will become the legal New Zealand limit for adult drivers from next year when the amount is lowered from 0.08 per cent.
"People should be alerted to the potential risks of driving during the hangover state."
In a smaller UK study, participants undertook a 20-minute simulation of driving in a mixed urban and rural setting with hazards such as pedestrians.
It showed major increases in speed variability, reaction time and driving errors.
Professor Chris Alford, from the University of the West of England, said the findings that driving performance was adversely affected by hangovers should be incorporated into driver safety campaigns.
But University of Canterbury lecturer Dr Eric Crampton, who has been researching the issue, wasn't alarmed at the findings. "I would expect that driving while suffering from a very bad cold and headache, or driving with the flu, or being pretty tired, would have a similar effect."