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Do Smart Growth Strategies Have a Role in Curbing Vehicle Miles Traveled? A Further Assessment Using Household Level Survey Data

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  • Chattopadhyay Sudip

    (San Francisco State University)

  • Taylor Emily

    (San Francisco State University)

Abstract

This paper draws on McFadden’s location choice theory and incorporates households’ residential choice decisions as a hierarchical process in a structural travel demand model. The paper argues that such an approach can effectively tackle the problems of self-selection and multicollinearity. Contrary to previous findings, empirical results based on OLS and 3SLS reveal that travel demand is highly elastic to certain smart-growth features, if they are measured at different spatial scales. The results are robust against alternative sequencing of the hierarchical choice process. An analysis of the quantitative impact of a change in the smart-growth and fuel-tax policies reveals significant returns under both policies. Finally, a simulation based on California suggests that smart growth policies substantially reduce household travel demand.

Suggested Citation

  • Chattopadhyay Sudip & Taylor Emily, 2012. "Do Smart Growth Strategies Have a Role in Curbing Vehicle Miles Traveled? A Further Assessment Using Household Level Survey Data," The B.E. Journal of Economic Analysis & Policy, De Gruyter, vol. 12(1), pages 1-29, September.
    • Handle: RePEc:bpj:bejeap:v:12:y:2012:i:1:n:37
    DOI: 10.1515/1935-1682.3224
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    References listed on IDEAS

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    Cited by:

    1. Rui Wang & Quan Yuan, 2017. "Are denser cities greener? Evidence from China, 2000–2010," Natural Resources Forum, Blackwell Publishing, vol. 41(3), pages 179-189, August.

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