Modelling scenarios in planning for future employment growth in Stockholm

The City of Stockholm is conducting a scenario planning exercise to explore where potential future office development should be planned: closer to the city centre as in the status quo, in peripheral hubs on the outskirts of the city, or dispersed throughout multiple neighbourhoods. To support this exercise, this paper models these three scenarios using a nested work location and dynamic activity-based scheduling model. Our model predicts that high-income individuals have the highest consumer welfare benefits and are over-represented as workers in all scenarios. Developing more central office space will likely reinforce existing geographical patterns of income inequality in Stockholm; developing peripheral or dispersed office space, especially in the south of the city, will challenge these patterns. However, the model also illustrates a tension between the goals of equity and the environment. By taking advantage of existing transit infrastructure and congestion patterns, more central office development will result in lower vehicle kilometers travelled and lower car mode share for commuting than more peripheral or dispersed development.