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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)

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    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.

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    Bibliographic Info

    Article provided by De Gruyter in its journal The B.E. Journal of Economic Analysis & Policy.

    Volume (Year): 12 (2012)
    Issue (Month): 1 (September)
    Pages: 1-29

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    Handle: RePEc:bpj:bejeap:v:12:y:2012:i:1:n:37

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    Web page: http://www.degruyter.com

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    Web: http://www.degruyter.com/view/j/bejeap

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