Petrol expenditure and redistributive effects of its taxation in Spain

The objective of this paper is to estimate a petrol expenditure function for Spain and to evaluate the redistributive effects of petrol taxation. We use micro data from the Spanish Household Budget Survey of 1990/91 and model petrol expenditure taking into account the effect that income changes may have on car ownership levels, as well as the differences that exist between reported expenditure and real consumption during the week of reference. Our results show the importance that household structure, place of residence and income have on petrol expenditure patterns. We are able to compute income elasticities of petrol expenditure, both conditional and unconditional on the level of car ownership. Non-conditional elasticities, while always very close to unit values, are lower for higher income households and for those living in rural areas or small cities. When car ownership levels are taken as fixed, the conditional elasticity obtained is around one half the value of the non-conditional ones. As regards the redistributive effects of petrol taxation, we observe that for the lowest income deciles the share of petrol expenditure increases with income, and thus the tax can be regarded as progressive. However, after a certain income level the tax proves to be regressive.     

Redistributive effects of subsidies to urban public transport in Spain

This paper analyses the redistributive effects generated by the subsidization of urban public transport services. We estimate a two-stage model that takes into account both car ownership decisions and expenditure in urban public transport. In this way, we are able to measure the long run effects of income changes. Under the assumption that the user is the final beneficiary of the subsidies, and computing the share of the fare that is subsidized, we measure the progressiveness of the subsidies for different income groups and city sizes. Urban public transport subsidies are shown to be progressive. In larger urban areas this effect is considerably more important than in small ones.     

Urban transport policy development: two case studies in the Middle East

Abstract

The recent completion of two major transport studies of predominantly urban areas in the Middle East (Amman‐Jordan and Bahrain) has provided the opportunity to compare and contrast the transport characteristics of, and medium term transport policies for, the two areas.

While in structure the two transport systems have many similarities, their base year usage differs significantly. In view of the much lower income levels in Amman, and the resulting lower levels of car ownership, greater reliance is placed on public transport in Amman than in the more car‐oriented society in Bahrain. Against this background, and in the context of broadly similar overall levels of growth in travel demand, their development in the medium term future should follow different paths. Amman will need to depend on public transport very heavily, with only limited road building. Bahrain should be able to develop a satisfactory road system, with public transport playing its current role except for the provision of services for some relatively modest number of restrained private vehicle users. In both cases, however, substantial investment in off‐street parking spaces is needed.

The paper briefly describes the social and economic backgrounds of the two areas, and reviews the transport systems and the organisations responsible for them. Travel demand forecasts are summarized, leading to the transport plan and policy development. The prospects for implementation are discussed, and the paper lastly focuses on some aspects which are key to the development of the transport systems in the two countries.     

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.     

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.     

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.     

Do organized leisure activities for children encourage car-use?

Unlike school trips, the leisure activities of children and transport to these activities have received relatively little attention. Organized activities have increased and the immediate neighbourhood is not always the most appropriate or desirable area to play in or carry out various leisure activities. This paper presents findings from a nationwide survey in Norway that focus on children’s mobility. The results suggesting that a large proportion of children 6–12 years participate in organized leisure activities – sporting pursuits and music being the most popular and car is the main transport mode to these activities. The car share is higher than for school trips. The analysis indicates that children, particularly in these age groups, have parents with at least one car and who use the car for most purposes. Families who live in the larger cities have less access to a car than families living in other places, and this is reflected in the transport mode when children are escorted to leisure activities. Although distance to activities and children’s age are important for car-use, parents travel habits also have an impact on mode choice for these purposes.     

Spatio-temporal analysis of car distance,greenhouse gases and the effect of built environment: A latent class regression analysis

This work examines the temporal–spatial variations of daily automobile distance traveled and greenhouse gas emissions (GHGs) and their association with built environment attributes and household socio-demographics. A GHGs household inventory is determined using link-level average speeds for a large and representative sample of households in three origin–destination surveys (1998, 2003 and 2008) in Montreal, Canada. For the emission inventories, different sources of data are combined including link-level average speeds in the network, vehicle occupancy levels and fuel consumption characteristics of the vehicle fleet. Urban form indicators over time such as population density, land use mix and transit accessibility are generated for each household in each of the three waves. A latent class (LC) regression modeling framework is then implemented to investigate the association of built environment and socio-demographics with GHGs and automobile distance traveled. Among other results, it is found that population density, transit accessibility and land-use mix have small but statistically significant negative impact on GHGs and car usage. Despite that this is in accordance with past studies, the estimated elasticities are greater than those reported in the literature for North American cities. Moreover, different household subpopulations are identified in which the effect of built environment varies significantly. Also, a reduction of the average GHGs at the household level is observed over time. According to our estimates, households produced 15% and 10% more GHGs in 1998 and 2003 respectively, compared to 2008. This reduction can be associated to the improvement of the fuel economy of vehicle fleet and the decrease of motor-vehicle usage – e.g., a decrease of 4% is observed for fuel efficiency rates and 12% for distance according to the raw average estimates from 1998 with respect to 2008. A strong link is also observed between socio-demographics and the two travel outcomes. While number of workers is positively associated with car distance and GHGs, low and medium income households pollute less than high-income households.     

The determinants of car ownership in England and Wales from anonymous 2001 census data

Within the transportation research literature, the attempt to understand and predict the level of car ownership is probably one of the most popular areas of study. The primary reason for this is understandable, having access to a vehicle increases an individual’s (or their household’s) travel options, leading to greater mobility. Secondary reasons for this scrutiny include the need to predict future transport investment in road infrastructure and the commercial demand for new vehicles. This paper attempts to predict the level of household car ownership as a function of the characteristics of the household and the individuals that make up the household. The primary data source for this study comes from the 2001 United Kingdom Census and the analysis methods used are from the discipline of data mining. The results of this study are in line with those from previous research but show a potential to predict the higher levels of household car ownership with greater accuracy than other similar studies.     

How the longer term success of a social marketing program is influenced by socio-demographics and the built environment

Urban sprawl is pervasive in Australian cities arising from the low density development of dwellings with the consequence that private vehicle use dominates daily travel in Australia. This paper examines a community based social marketing program, TravelSmart, which targeted reducing vehicle kilometres travelled as part of a transport demand management strategy. This paper uses 3-year panel data collected by GPS tracking and a conventional survey methodology in northern Adelaide, South Australia, to examine whether TravelSmart had a sustained impact and whether this was impacted by socio-economic and built-environment factors. A latent growth model is employed and demonstrates TravelSmart led to a declining trend in private car driving over the 3 years at both individual and household levels with effects being sustained beyond 1 year and up to 2 years. There is some evidence of compensatory behaviour between household members. Socio-demographic factors are significant with males decreasing their driving times faster than females. Built environment impacts were also significant with different levels of walkability showing different trajectories in the reduction of car trips after the implementation of TravelSmart, suggesting social marketing interventions work better when supported by hard policies such as a supportive built environment.     

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.     

REVIEW PAPER

Abstract

Car sharing, which can be defined as sharing vehicle services amongst members, thereby giving them access to a fleet of vehicles, is important in promoting the use of sustainable modes of transport. Although the car‐sharing market in Germany has grown considerably in recent years, customer take‐up is still relatively low. Only 0.16% of driving licence holders in Germany have joined a car‐sharing organization. As a result, the central objective of this paper is to assess ways of promoting car‐sharing services further. Therefore, it begins with an investigation into the current situation in Germany, for which a survey addressing all German car‐sharing organizations was conducted. Additionally, a household survey was conducted to evaluate the demand for car sharing. Finally, research into the development of car sharing in other countries was undertaken via the Internet and a brief survey to car‐sharing organizations in some of those countries. Recommendations for the further development of car sharing are given based on the findings from each of these studies.     

Changes in level of household car ownership: the role of life events and spatial context

Recent longitudinal studies of household car ownership have examined factors associated with increases and decreases in car ownership level. The contribution of this panel data analysis is to identify the predictors of different types of car ownership level change (zero to one car, one to two cars and vice versa) and demonstrate that these are quite different in nature. The study develops a large scale data set (n = 19,334), drawing on the first two waves (2009–2011) of the UK Household Longitudinal Study (UKHLS). This has enabled the generation of a comprehensive set of life event and spatial context variables. Changes to composition of households (people arriving and leaving) and to driving licence availability are the strongest predictors of car ownership level changes, followed by employment status and income changes. Households were found to be more likely to relinquish cars in association with an income reduction than they were to acquire cars in association with an income gain. This may be attributed to the economic recession of the time. The effect of having children differs according to car ownership state with it increasing the probability of acquiring a car for non-car owners and increasing the probability of relinquishing a car for two car owners. Sensitivity to spatial context is demonstrated by poorer access to public transport predicting higher probability of a non-car owning household acquiring a car and lower probability of a one-car owning household relinquishing a car. While previous panel studies have had to rely on comparatively small samples, the large scale nature of the UKHLS has provided robust and comprehensive evidence of the factors that determine different car ownership level changes.     

Urban transport in Germany: providing feasible alternatives to the car

With the second highest level of car ownership in the world, and the third highest population density in Europe, Germany has adopted a range of policies to balance the many private benefits of car use with its serious social and environmental problems. In order to ‘tame’ the car, most German cities have implemented a twofold strategy of expanding and improving pedestrian, bicycling and public transport alternatives simultaneously with restricting car use and making it more expensive. That has increased political acceptability since the car‐restrictive measures are not perceived as mere punishment of car drivers. The results of this coordinated urban transport strategy have been impressive. Germany, as a whole, has managed to increase public transport use and to stabilize the car share of modal split. Some cities, of course, have been more successful than others, and this paper examines three of the most successful cities: Münster, Freiburg and Munich. In each of the cities, the percentage of travel by bicycling, walking and public transport has been raised over the past 20 years, while the car's share of modal split has fallen. This article documents the range of policies used to restrict car use, both in Germany as a whole, and in the three case‐study cities in particular. The key to success is found to be mutually reinforcing transport and land‐use policies. It is the combination of a whole set of coordinated policies that explains the dramatic success in changing travel behavior.     

Auto travel fuel elasticity in a rapidly developing urban area

This paper presents results of a study conducted to quantify the effect of fuel cost increases on household auto travel in Riyadh, the rapidly developing capital of Saudi Arabia. Responses of a stratified random sample of 1648 individual households provided the data base for the analysis. The auto trip measures of shrinkage ratio, arc and log-arc elasticities were calculated for households categorized by income and family size. The elasticity measures suggested the existence of significant relationship among the factors of fuel cost, the number of daily auto trips, and family size. It was found that as fuel prices increased, the number of daily trips decreased, and that this decrease in daily trips was greater with larger family size. A step-wise multiple regression analysis with three independent variables of car ownership, family size, and daily fuel expenditures was developed. The model was fairly accurate in predicting variations in daily household travel. The regression parameter of the variable fuel cost was also used to derive demand elasticity to fuel expenditures. Elasticity measures ranged between -0.30 and -0.37.     

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.     

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.     

From e-bike to car: A study on factors influencing motorization of e-bike users across China

Household car ownership has risen dramatically in China over the past decade. At the same time a disruptive transportation technology emerged, the electric bike (e-bike). Most studies investigating motorization in China focus on macro-level economic indicators like GDP, with few focusing on household, city-level, environmental, or geographic indicators, and none in the context of high e-bike ownership. This study examines household vehicle purchase decisions across 59 cities in China with broad geographic, environmental, and socio-economic characteristics. We focus on a subset of households who own e-bikes and rely on a telephone survey from an industry customer database. From these responses, we estimate two three-level hierarchical choice models to assess attributes that contribute to (1) recent car purchases and (2) the intention to buy a car in the near future. The results show that the models are dominated by household characteristics including household income, household size, household vehicle ownership, number of licensed drivers and duration of car ownership. Some geographic, environmental and socio-economic factors have significant influences on car purchase decisions. Only two city-level transportation variable have an effect – higher taxi density and higher bus density reducing car purchase. Cold weather, population density gross domestic product per capita positively influence car purchase, while urbanization rate reduces car purchase. Because of supply heterogeneity in the data set, described by publicly available urban transportation data, this is the first study that can include geographic and urban infrastructure differences that influence purchase choice and suggests potential region-specific policy approaches to managing car purchase may be necessary.     

Does transport help people to gain employment? A systematic review and meta-analysis of the empirical evidence

ABSTRACT

The role of transport in providing access to employment has received considerable attention. Since transport policies may be motivated by assumed effects on employment probability outcomes, it is important to establish the nature of the relationship between transport and employment outcomes. While the majority of the empirical evidence suggests a positive association, it is not conclusive or consistent and often shows mixed results. To address this confusion, our study has systematically reviewed this evidence base and synthesised it through meta-analysis. We first identified 93 studies that quantitatively assessed the impact of transport on employment outcomes. By systematically merging the empirical evidence, this study establishes a positive association between transport and employment outcomes, with varying effects for four identified categories of transport measures (or combinations thereof): car ownership, public transport access, commute times, and job accessibility levels. This positive association persists in studies that control for endogeneity between transport and employment, but a larger evidence base is needed to establish a more robust relationship, in particular for cities and smaller (rural) areas outside the US-context and with regard to public transport. We then selected 20 methodologically comparable studies for inclusion in the meta-analysis. Our meta-regression models clearly demonstrate that car ownership significantly increases individual employment probabilities, in particular among welfare recipients. Young drivers benefit from access to household cars when these are not in use by their parents, and they are more sensitive to the time and cost implications of longer commutes. While our systematic review suggests that better access to public transport and higher levels of job accessibility increases employment probabilities, meta-regression analysis requires more consistent transport measures. The findings in this study are important for policymakers in that they imply that job seekers may benefit from public policies targeted at improving their access to public transport, in particular for people without access to cars and in areas with fewer job opportunities.