Suburbanization and the Automobile
AbstractDuring the period 1910 to 1970, an increasing fraction of the urban population in the US chose to live on the outskirts of central cities. This was also a time when a major innovation in transportation technology, the automobile, was introduced and widely adopted. The objective of this paper is to assess quantitatively the relationship between the two. To achieve this, a simple model is constructed in which agents can choose where to live and whether or not to buy a car. When the model is calibrated, it can explain about 70 percent of the rise in car-ownership over the period 1910 to 1970 and all of the suburbanization trend. According to the model, rising income and falling car prices alone are not enough to generate the suburbanization trend. It is essential to have also: (i) a declining cost of commuting by car which allows car-owners to live further away from the city center, and (ii) a rising cost of using public transportation which encourages agents to make the swith to automobiles.
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Bibliographic InfoPaper provided by Economie d'Avant Garde in its series Economie d'Avant Garde Research Reports with number 6.
Length: 37 pages
Date of creation: Jan 2004
Date of revision: May 2005
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Web page: http://www.jeremygreenwood.net/EAG.htm
automobiles; suburbanization; population density gradients;
Other versions of this item:
- E10 - Macroeconomics and Monetary Economics - - General Aggregative Models - - - General
- O11 - Economic Development, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
- N12 - Economic History - - Macroeconomics and Monetary Economics; Industrial Structure; Growth; Fluctuations - - - U.S.; Canada: 1913-
- R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
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