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The Effects of Gasoline Prices on Bus Ridership for Different Types of Transit Systems

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  • Mattson, Jeremy

Abstract

This study estimates the effects of gas prices on bus ridership for different types of transit systems. Because the price of gas can have a delayed effect on the demand for transit, a dynamic polynomial distributed lag model is utilized which measures short- and longer-run effects. The model is first applied to aggregate data for cities of different sizes and then to three specific small urban and rural transit systems in the Upper Great Plains. The results show that bus ridership is fairly inelastic with respect to gasoline price. Most of the estimated elasticities are in the range of 0.08 to 0.22, with two estimates being as high as 0.5.

Suggested Citation

  • Mattson, Jeremy, 2008. "The Effects of Gasoline Prices on Bus Ridership for Different Types of Transit Systems," Journal of the Transportation Research Forum, Transportation Research Forum, vol. 47(3).
    • Handle: RePEc:ags:ndjtrf:206960
    DOI: 10.22004/ag.econ.206960
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    File URL: https://ageconsearch.umn.edu/record/206960/files/2101-4156-1-PB.pdf
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    References listed on IDEAS

    as
    1. Storchmann, K. -H., 2001. "The impact of fuel taxes on public transport -- an empirical assessment for Germany," Transport Policy, Elsevier, vol. 8(1), pages 19-28, January.
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    Cited by:

    1. Javier D. Donna, 2021. "Measuring long‐run gasoline price elasticities in urban travel demand," RAND Journal of Economics, RAND Corporation, vol. 52(4), pages 945-994, December.
    2. Zhang, Tong & Burke, Paul J., 2020. "The effect of fuel prices on traffic flows: Evidence from New South Wales," Transportation Research Part A: Policy and Practice, Elsevier, vol. 141(C), pages 502-522.
    3. Juan Gomez & José Manuel Vassallo & Israel Herraiz, 2016. "Explaining light vehicle demand evolution in interurban toll roads: a dynamic panel data analysis in Spain," Transportation, Springer, vol. 43(4), pages 677-703, July.

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    Keywords

    Demand and Price Analysis;

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