A dynamic analysis of household car ownership

This paper examines the determinants of household car ownership, using Irish longitudinal data for the period 1995–2001. This was a period of rapid economic and social change in Ireland, with the proportion of households with one or more cars growing from 74.6% to 80.8%. Understanding the determinants of household car ownership, a key determinant of household travel behaviour more generally, is particularly important in the context of current policy developments which seek to encourage more sustainable means of travel. In this paper, we use longitudinal data to estimate dynamic models of household car ownership, controlling for unobserved heterogeneity and state dependence. We find income and previous car ownership to be the strongest determinants of differences in household car ownership, with the effect of permanent income having a stronger and more significant effect on the probability of household car ownership than current income. In addition, income elasticities differ by previous car ownership status, with income elasticities higher for those households with no car in the initial period. Other important influences include household composition (in particular, the presence of young children) and lifecycle effects, which create challenges for policymakers in seeking to change travel behaviour.     

Car pride and its behavioral implications: an exploration in Shanghai

Beyond their functional purpose, cars are often considered a status symbol. There may exist a certain level of pride associated with owning and using cars, particularly in regions where motorization is rapidly growing. However, there is little empirical evidence in terms of how car pride is related to different behavioral aspects, such as car ownership and use, especially in the context of developing countries. This paper presents an exploration of car pride and its association with car-related behavior. In this work, car pride is defined as the self-conscious emotion derived from the appraisal of owning and using cars as a positive self-representation. It pertains to both the symbolic and affective functions of the car. Using survey data (n?=?1389) from Shanghai, China, we empirically measure car pride as a latent variable based on five Likert-scale statements and test the association of car pride with car use, vehicle preferences, and car ownership. Based on two structural equation models, we show that: (1) car pride is positively correlated with car use; (2) car pride correlates significantly with owning newer, more expensive, and luxury cars, and Shanghai’s more expensive local car licenses; (3) car owners in general have higher car pride than non-owners; and (4) car pride is largely independent of one’s socio-economic characteristics. Although the analysis focuses on Shanghai, the findings of the positive correlation between car pride and behavior are consistent with prior studies in developed countries. These findings highlight the importance of car pride regarding multiple behavioral aspects of car ownership and use and its potential impact on mobility management.

     

Do fewer people mean fewer cars? Population decline and car ownership in Germany

Drawing on household data from Germany, this study econometrically analyzes the determinants of automobile ownership, focusing specifically on the extent to which decreases in family size translate into changes in the number of cars at the national level. Beyond modeling several variables over which policy makers have direct leverage, including the proximity of public transit, fuel prices and land use density, the analysis uses the estimated coefficients from a multinomial logit model to simulate car ownership rates under alternative scenarios pertaining to demographic change and other socio-economic variables. Our baseline scenario predicts continued increases in the number of cars despite decreases in population, a trend that is attributed to continued increases in household income.     

Changing household car ownership level and life cycle events: an action in anticipation or an action on occurrence

This paper analyzes households’ decision to change their car ownership level in response to actions/decisions regarding mobility issues and other household events. Following recent literature on the importance of critical events for mobility decisions, it focuses on the relationship between specific events (e.g. childbirth and buying an extra car), rather than trying to explain the status of car ownership from a set of stationary explanatory variables. In particular, it is hypothesized that changes in household car ownership level take place in response to stressors, resulting from changed household needs or aspirations. The study includes a broad range of events. Apart from changes in work status, employer and residential location, it analyzes demographic events such as household formation and childbirth. Also, it scrutinizes the temporal sequence in which chains of related events are most likely to occur. To this end, data from a retrospective survey that records respondents’ car ownership status, as well as residential and household situation over the past 20 years are used. A panel analysis has been carried out to disentangle typical relationships. The results suggest that strong and simultaneous relationships exist between car ownership changes and household formation and dissolution processes. Childbirth and residential relocation invoke car ownership changes. Changes are also made in anticipation of future events such as employer change and childbirth. Childbirth is associated with increasing the number of cars, whereas the effect of employer change goes the opposite way. Job change increases the probability of car ownership change in the following year.     

The residential parking rent price elasticity of car ownership in Japan

By using household-level micro data captured through the National Survey of Family Income and Expenditure for 2004, this study evaluates the residential parking rent price elasticity of car ownership in Japan. It analyzes the number of cars owned by a household, using various attributes including expenditure for renting a parking space on a monthly basis. The estimation results derived from the IV-ordered probit model show that the absolute value of parking rent price elasticity of car ownership is, at most, 0.48, which is fairly small (i.e., inelastic). The elasticity value varies depending on city size; for megacities, elasticity is always negative for car ownership, whereas for middle-sized or small cities, towns, and villages, elasticity is positive for one-car ownership and negative for the ownership of more than one car. Hence, when the price of parking increases, some people may switch from more than one car to one car and some people in megacities may switch from one to zero cars. Indeed, the net effect of a price increase may be that non-car ownership increases in megacities and one-car ownership increases in other cities.     

Means of transport and ontological security: Do cars provide psycho-social benefits to their users?

This paper presents some empirical evidence on the psycho-social benefits people seem to derive from their cars based on in-depth interviews with a sample of car owners and non-car owners in the West of Scotland. We suggest that psycho-social benefits of protection, autonomy and prestige may help to explain people's attachment to cars and also why studies have found consistently that car owners are healthier than non-car owners. In our study cars were seen to provide protection from undesirable people events, and a comfortable cocoon (but not as providing protection against accidents). Cars provided autonomy because car use was seen as being more convenient, reliable and providing access to more destinations than public transport. Cars were seen to confer prestige and other socially desirable attributes such as competence, skill and masculinity. We think that it is important for policy makers to consider how to make public transport more attractive by increasing its potential to provide similar sorts of benefits, and to do so by targetting the different needs of various population groups.     

The effect of the oil crisis on the growth in the ownership and use of cars

Since the oil crisis of 1973, a number of studies have been made in various countries of the effects of the rise in petrol prices on the level of traffic flow, but rather fewer have attempted to delineate the complex chain of reactions within the car market set off by this impulse. We attempt to do this, using data from the UK.Since 1966 during the prediction stage of the first London Transportation Study it became obvious that low income and high income households had different rates of growth of car ownership, mainly because low income households bought cheap, old cars which vary in quantity and price differently from expensive, new cars. The Greater London Council therefore sponsored a study of car prices by age and size, starting from 1957 annually, and since the oil crisis, evaluated monthly. This has enabled us to examine the strong change in trend that had occurred, with large cars depreciating 15% per annum more than the smallest. The quantities of cars of each size registered each month are available from national statistics and this enables us to say that the previous 1% per annum increase in car size was arrested, with new cars becoming substantially smaller.A model of the car market has been developed which relates on the one hand the price distribution of cars by age, and on the other hand the price. distribution of the stock of cars owned at each household income level. Via the expenditure on car purchase at each household income level and the distribution of the length of time between purchase and resale of cars, a fully dynamic model has been developed to relate expenditure flow and stock. This enables us to test the effect of different trends on the dynamic equilibrium in the car market.The implications of the two trends noted above on the prediction of future car ownership growth are discussed, with the standstill since the oil crisis attributed to petrol prices via the split in household expenditure between purchase and use.     

Car ownership and access to jobs in Spain

The purpose of this paper is to assess the effect of urban structure on household car ownership in a context of rapid job and population decentralization. We capture the effect of urban structure through a measure of job accessibility to employment by public transport. An ordered probit explaining the number of cars per household is estimated as a function of individual, household and spatial variables. The data used in the analysis come from the Spanish Institute of Statistics’ 2001 Micro-census for the areas of Barcelona and Madrid. The results show that spatial variables play a significant role in explaining the probability of car ownership. We provide the car ownership elasticities with respect the job accessibility measure. Additionally, we carried out simulation exercises in which the expected number of vehicles decreases as accessibility improves.     

Variation of households<Emphasis Type="Bold">’</Emphasis> car ownership across time: application of a panel data model

For economic and environmental policy formulation and with the effort of creating less car dependent societies, it is important to study the changing characteristics of car ownership in a household through time as well as factors responsible of these variations. There is a vast body of literature on empirical studies of car ownership and use. These studies have investigated the socio-economic background of the decision maker, the built environment and the perception associated with owning a car as determinant factors of car ownership and use. In most cases, these analyses have been carried out using cross-sectional data sets. However, the analysis of factors determining changes in travel behavior of an individual or household requires information on their behavior over time (longitudinal data set). In this study, the German Mobility Panel (1996–2006) is used to examine variation of car ownership through time and across households. The panel data modeling results showed that there are variations of car ownership between households whereas changes in car ownership of a given household over time (within household variations) are insignificant. The influence of other factors such as the households’ socio-economic background, the availability of public transportation and shopping/leisure facilities, perception on parking difficulties and satisfaction with existing public transportation services on the car owning characteristics of households is also presented and discussed in this paper.

Residential relocations and changes in vehicle ownership

While the relationship between automobile ownership and the built environment is well established, less is known about how household relocations—specifically, moves between urban and suburban geographies—affect the likelihood of owning an automobile. Using the Panel Study of Income Dynamics and a refined neighborhood typology, I examine the relationship between inter-geography moves and transitions into and out of carlessness. Results suggest that among low-income households, urban-to-suburban movers have an increased likelihood of becoming car owners; those moving in the “opposite” direction—from suburban to urban neighborhoods—show a high propensity to transition into carlessness. Patterns among higher-income households, while similar, are more pronounced. In particular, higher-income carless households that make urban-to-suburban moves are far more likely to become car owners than their low-income counterparts. This highlights the ease with which higher-income households adjust their car ownership levels to suit their post-move neighborhoods. Higher-income suburban-to-urban movers are also more likely to transition into carlessness than low-income households. Importantly, however, only households at the bottom end of the “higher income” distribution have an increased propensity to become carless; suburban-to-urban movers with more financial resources maintain vehicle ownership rates similar to households that remain in the suburbs.

     

Household-level commuting mode choices,car allocation and car ownership level choices of two-worker households: the case of the city of Toronto

The paper presents a comprehensive investigation on household level commuting mode, car allocation and car ownership level choices of two-worker households in the City of Toronto. A joint econometric model and a household travel survey dataset are used for empirical investigations. Empirical models reveal that significant substitution patterns exist between auto driving and all other mode choices in two-worker households. It is revealed that, female commuters do not prefer auto driving, but in case of a one car (and two commuters with driving licenses) household, a female commuter gets more preference for auto driving option than the male commuter. Reverse commuting (commuting in opposite direction of home to central business district) plays a critical role on household level car allocation choices and in defining the stability of commuting behaviour of two-worker households. Two worker households in higher income zones and with longer commuting distances tend to have higher car ownership levels than others. However, higher transit accessibility to jobs reduces household car ownership levels. The study reveals that both increasing two worker households and reverse commuting would increase dependency on private car for commuting.     

Estimating the long-term effects of different passenger car technologies on energy/fuel consumption and emissions of greenhouse gases in Europe

Abstract

A stated preference (SP) experiment of car ownership was conducted in Mumbai Metropolitan Region (MMR) of Maharashtra in India. A full factorial experiment was designed to considering various attributes such as travel time, travel cost, projected household income, car loan payment and servicing cost. Data on 357 individuals were collected which resulted in 3213 observations for the calibration of the work trip and recreational trip car ownership models. The car ownership alternatives considered 0, 1 and 2 cars. A multinomial logit framework was used to develop the car ownership model taking the household as a decision unit. The specification and results of the SP car ownership model are discussed. The observed and predicted values matched reasonably when the validity of the SP car ownership model was tested against revealed preference (RP) data. The car ownership models developed in this study exhibit a satisfactory goodness of fit. It is concluded that the SP modelling approach can be successfully used for modelling car ownership decisions of households in developing countries.     

A repeated cross-sectional evaluation of car ownership

This paper studies changes in the relationship between household car ownership and income by household type. Ordered response probit models of car ownership are estimated for a sample of households repeatedly at six time points to track the evolution of income elasticities of car ownership over time. Elasticities of car ownership are found to change over time, questioning the existence of a unique equilibrium point between demand and supply that is implicitly assumed in traditional cross-sectional discrete choice car ownership models. Moreover, different household types and households that underwent household type transitions showed differing patterns of change in elasticities. Observed trends in car ownership and income clearly show behavioral asymmetry where the elasticity of procuring an additional car is greater than that of disposing a car. This too shows the inadequacy of traditional cross-sectional models of car ownership which tend to predict symmetry in behavior. The study suggests the importance of incorporating dynamic trends into the forecasting process, which can be accomplished through the use of longitudinal data.     

Modelling car ownership in Great Britain

Over the last 50 years there has been a tenfold increase in the number of cars in Great Britain, rising from 2.6 million vehicles in 1951 to 27 million vehicles in 2001. Over the same period there has been a steady reduction in the proportion of households without access to a car and a steady increase in the proportion of households with two or more cars. If such trends continue, it is likely that there will be increased energy consumption, increased problems with traffic congestion and atmospheric pollution, and reductions to the financial viability of public transport. Given the importance of car ownership to transport and land-use planning and its relationship with energy consumption, the environment and health, it is the objective of this research to develop econometric models of household car ownership and apply the models to generate forecasts across Britain to the year 2031. To achieve this objective, the research develops discrete choice models of the household’s decision to own zero, one, two or three or more vehicles as a function of market saturation, licence holding, household income and structure, household employment, company car provision, and purchase and use costs. The models are validated to data from the 2001 Census and are used to develop a range of forecasts taking into account changes to the socio-demographic characteristics of Britain.     

Car ownership and attitudes towards transport modes for shopping purposes in Singapore

The heightening of issues, such as sustainable development and environmental pollution have resulted in many governments pursuing transport policies which aim to promote the use of public transport modes, including walking, as well as discourage the use of the car for various activities, such as shopping, work, recreation, etc. However, little has been done on understanding shoppers' perceptions of transport modes for shopping purposes. Particularly, not much research has been done on examining the attitudes of car owners and non-car owners towards transport modes for shopping purposes. Using Singapore as a study area, this study has attempted to analyse car owners and non-car owners' perceptions of the different types of transport modes (i.e., car, taxi, bus, mass rapid transit and walk) in their shopping trips. The research found that each transport mode has its own unique set of attributes. In addition, car owners and non-car owners portray different attitudes towards the public transport modes and the car. This calls for different strategies for these two groups of shoppers in encouraging them to use the public transport modes and restrain the use of the car.     

Household Mobility Tool Ownership: Modeling Interactions between Cars and Season Tickets

This paper moves beyond traditional models of car ownership in that we propose a framework for modeling household-level decisions to acquire specific types and numbers of mobility tools to fulfill the mobility needs of household members. The framework is applied to a data set collected during the winter and spring of 2000/2001 in the German city Karlsruhe via an interactive web-based stated response survey in which respondents could optimize their household mobility tool sets through on-line feedback concerning the estimated costs of the sets. In our analysis, bivariate ordered probit models are estimated for three combinations of mobility tools: season tickets (i.e., transit passes) and cars, season tickets and small cars and season tickets and large cars. In all instances, strong substitution effects are found – that is, as the number of season tickets increases, the number of cars decreases. This finding underscores the need to move beyond simple models of car ownership to comprehensive models of mobility tool ownership. As demonstrated by our research, failure to do so is likely to lead to biased results.     

The asymmetric income effect on household vehicle ownership in Taiwan: A threshold cointegration approach

This paper uses the asymmetric threshold cointegration test to examine the asymmetric relationship between household income and vehicle ownership in Taiwan, presenting estimated asymmetric error correction models. The empirical data include information on household income, car ownership and motorcycle ownership in different regions from 1974 to 2009. The results show that, first, motorcycle ownership is asymmetrically cointegrated with household income in each region, and car ownership is asymmetrically cointegrated with household income in all regions except Taipei city. Second, both car and motorcycle ownership levels increase faster than they decrease in the asymmetric adjustment of their long-run relationship. Third, sensitivity tests for the period 1987-2009 show that the cointegration relationship of the car ownership equations vanished. Finally, we find evidence on the effects of household income on motorcycle ownership, and the effects of income variables on car and motorcycle ownership are dissimilar. This study exhibits different results across regions. These findings may be related to the development of public transit system in each region.     

The role of individual characteristics in car ownership shortly after relationship dissolution

The dissolution of a relationship is a life event that often coincides with many other changes in life, such as a decline in income level or household size or a change in place of residence. This study aims to provide more insight into the ways in which circumstances shortly following the disruption of a relationship affect travel behaviour. Register data that combines information on the Dutch population, income and vehicle registration are used to understand how personal situations that are closely related to relationship disruption affect car ownership. The study shows that several characteristics of singles and single partners shortly after a breakup negatively affect car ownership. For instance, a relatively low income level, unemployment, living in a city or a residential move all affect car ownership negatively. This study focuses on the role of circumstances shortly after relationship disruption, demonstrating the importance of such an event.     

The effect of prices and income on car travel in the UK

The objective of this paper is to analyse the factors determining household car travel, and specifically the effects of household income and the prices of cars and motor fuels, and to explore the intertemporal pattern of adjustment. The question of asymmetry in the response to rising and falling income is also addressed. Such asymmetry may be caused by habit or resistance to change or the tendency to acquire habits to consume more easily than to abandon them. The impact of prices, the speed of adjustment and the resistance to change will be important in determining the possibility of influencing travel behaviour and specifically car use. The study utilises repeated cross-section data from the annual UK Family Expenditure Surveys and employs a pseudo-panel methodology. The results are compared with those for car ownership estimated on the basis of similar models.