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Redistributive effects of subsidies to urban public transport in Spain

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  • Javier Asensio
  • Anna Matas
  • José-Luis Raymond

Abstract

This paper analyses the redistributive effects generated by the subsidization of urban public transport services. We estimate a two-stage model that takes into account both car ownership decisions and expenditure in urban public transport. In this way, we are able to measure the long run effects of income changes. Under the assumption that the user is the final beneficiary of the subsidies, and computing the share of the fare that is subsidized, we measure the progressiveness of the subsidies for different income groups and city sizes. Urban public transport subsidies are shown to be progressive. In larger urban areas this effect is considerably more important than in small ones.

Suggested Citation

  • Javier Asensio & Anna Matas & José-Luis Raymond, 2003. "Redistributive effects of subsidies to urban public transport in Spain," Transport Reviews, Taylor & Francis Journals, vol. 23(4), pages 433-452, July.
  • Handle: RePEc:taf:transr:v:23:y:2003:i:4:p:433-452
    DOI: 10.1080/01441647.2002.10823176
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    Cited by:

    1. repec:eee:retrec:v:62:y:2017:i:c:p:25-36 is not listed on IDEAS
    2. Gerlinde Verbist & Michael Föster & Vaalavou, M., 2013. "GINI DP 74: The Impact of Publicly Provided Services on the Distribution of Resources: Review of New Results and Methods," GINI Discussion Papers 74, AIAS, Amsterdam Institute for Advanced Labour Studies.
    3. Anna Matas, 2003. "Demand and revenue implications of an integrated public transport policy. The case of," Working Papers wpdea0304, Department of Applied Economics at Universitat Autonoma of Barcelona.
    4. Abrate, Graziano & Piacenza, Massimiliano & Vannoni, Davide, 2009. "The impact of Integrated Tariff Systems on public transport demand: Evidence from Italy," Regional Science and Urban Economics, Elsevier, vol. 39(2), pages 120-127, March.
    5. Bureau, Benjamin & Glachant, Matthieu, 2011. "Distributional effects of public transport policies in the Paris Region," Transport Policy, Elsevier, vol. 18(5), pages 745-754, September.
    6. Drevs, Florian & Tscheulin, Dieter K. & Lindenmeier, Jörg & Renner, Simone, 2014. "Crowding-in or crowding out: An empirical analysis on the effect of subsidies on individual willingness-to-pay for public transportation," Transportation Research Part A: Policy and Practice, Elsevier, vol. 59(C), pages 250-261.

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