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Estimating the effects of income inequality, information communication technology, and transport infrastructure on transport-oriented household expenditures

Author

Listed:
  • Zahid Hussain

    (Liaoning University)

  • Chunhui Huo

    (Liaoning University)

  • Jabbar Ul-Haq

    (University of Sargodha)

  • Hubert Visas

    (University of International Business and Economics
    Middle East University)

  • Muhammad Umair

    (University of Karachi)

Abstract

This study investigates the influence of transport infrastructure, income inequality, information and communication technology on transport-oriented household expenditures. For this purpose, we chose the data set period from 1997 to 2021 for the 24 OECD countries and employed the cross-sectional auto-regressive distributed lagged (CS-ARDL) approach. Therefore, the outcomes reveal that income inequality drastically upsurges transport-oriented household expenditures, especially the pre-tax income share of the 100th percentile concentration of the super-rich. Besides, there is a convex relationship between income inequality and household expenditures. The magnitudes of information and communication technology (ICT) are negative and significant, implying that ICT reduces transport-related household expenditures by allowing them to access real-time information and choose their destination as well as travel modes from the comfort of their own homes. Also, the combined effect of income inequality and ICT reduces transport-related household expenditures in the sample countries. Thus, the findings recommend some policy implications and direct future research directions based on empirical evidence.

Suggested Citation

  • Zahid Hussain & Chunhui Huo & Jabbar Ul-Haq & Hubert Visas & Muhammad Umair, 2025. "Estimating the effects of income inequality, information communication technology, and transport infrastructure on transport-oriented household expenditures," Transportation, Springer, vol. 52(5), pages 2117-2143, October.
    • Handle: RePEc:kap:transp:v:52:y:2025:i:5:d:10.1007_s11116-024-10486-5
    DOI: 10.1007/s11116-024-10486-5
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    Keywords

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    JEL classification:

    • O1 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development
    • R2 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Household Analysis
    • R4 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics

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