IDEAS home Printed from https://ideas.repec.org/a/wly/canjec/v58y2025i3p892-939.html

VancUber: The long‐run effect of ride‐hailing on public transportation, congestion, and traffic fatalities

Author

Listed:
  • John Cairncross
  • Jonathan D. Hall
  • Craig Palsson

Abstract

We investigate the long‐run effect of ride‐hailing on public transit ridership, traffic congestion, and traffic fatalities. We estimate the long‐run effect by exploiting British Columbia's use of a pre‐existing regulation in 2013 to ban ride‐hailing from Vancouver. Using difference‐in‐differences, we show that the estimated effects are sensitive to the choice of control group. Motivated by this, we use the synthetic control method to construct a counterfactual Vancouver. We do not find a statistically significant effect of ride‐hailing on our outcomes. To help understand these findings, we conduct a meta‐analysis. We find significant heterogeneity in the literature's estimates, but the average estimate is near zero. VancUber : L'effet à long terme du covoiturage sur les transports publics, la congestion et les accidents mortels. Nous étudions l'effet à long terme du covoiturage sur l'utilisation du transport public, la congestion routière et les accidents mortels de la circulation. Nous estimons l'effet à long terme en nous appuyant sur l'utilisation par la Colombie‐Britannique d'une réglementation préexistante, en 2013, pour interdire le covoiturage à partir de Vancouver. Grâce à la méthode des doubles différences, nous montrons que le choix du groupe de contrôle a une incidence sur les effets estimés. C'est pourquoi nous utilisons la méthode du contrôle synthétique pour construire un Vancouver contrefactuel. Nous ne trouvons pas d'effet statistiquement significatif du covoiturage sur nos résultats. Nous avons réalisé une méta‐analyse pour aider à comprendre ces résultats. Nous constatons une hétérogénéité importante dans les estimations de la littérature, mais l'estimation moyenne est proche de zéro.

Suggested Citation

  • John Cairncross & Jonathan D. Hall & Craig Palsson, 2025. "VancUber: The long‐run effect of ride‐hailing on public transportation, congestion, and traffic fatalities," Canadian Journal of Economics/Revue canadienne d'économique, John Wiley & Sons, vol. 58(3), pages 892-939, August.
  • Handle: RePEc:wly:canjec:v:58:y:2025:i:3:p:892-939
    DOI: 10.1111/caje.70023
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/caje.70023
    Download Restriction: no

    File URL: https://libkey.io/10.1111/caje.70023?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    References listed on IDEAS

    as
    1. Clewlow, Regina R. & Mishra, Gouri S., 2017. "Disruptive Transportation: The Adoption, Utilization, and Impacts of Ride-Hailing in the United States," Institute of Transportation Studies, Working Paper Series qt82w2z91j, Institute of Transportation Studies, UC Davis.
    2. Tirachini, Alejandro & del Río, Mariana, 2019. "Ride-hailing in Santiago de Chile: Users’ characterisation and effects on travel behaviour," Transport Policy, Elsevier, vol. 82(C), pages 46-57.
    3. Tarduno, Matthew, 2021. "The congestion costs of Uber and Lyft," Journal of Urban Economics, Elsevier, vol. 122(C).
    4. Firpo Sergio & Possebom Vitor, 2018. "Synthetic Control Method: Inference, Sensitivity Analysis and Confidence Sets," Journal of Causal Inference, De Gruyter, vol. 6(2), pages 1-26, September.
    5. Suvrat Dhanorkar & Gordon Burtch, 2022. "The Heterogeneous Effects of P2P Ride-Hailing on Traffic: Evidence from Uber’s Entry in California," Transportation Science, INFORMS, vol. 56(3), pages 750-774, May.
    6. Jonathan D Hall, 2021. "Can Tolling Help Everyone? Estimating the Aggregate and Distributional Consequences of Congestion Pricing," Journal of the European Economic Association, European Economic Association, vol. 19(1), pages 441-474.
    7. Alberto Abadie & Alexis Diamond & Jens Hainmueller, 2015. "Comparative Politics and the Synthetic Control Method," American Journal of Political Science, John Wiley & Sons, vol. 59(2), pages 495-510, February.
    8. Alberto Abadie & Javier Gardeazabal, 2003. "The Economic Costs of Conflict: A Case Study of the Basque Country," American Economic Review, American Economic Association, vol. 93(1), pages 113-132, March.
    9. Alberto Abadie, 2020. "Statistical Nonsignificance in Empirical Economics," American Economic Review: Insights, American Economic Association, vol. 2(2), pages 193-208, June.
    10. Alberto Abadie, 2021. "Using Synthetic Controls: Feasibility, Data Requirements, and Methodological Aspects," Journal of Economic Literature, American Economic Association, vol. 59(2), pages 391-425, June.
    11. Mi Diao & Hui Kong & Jinhua Zhao, 2021. "Impacts of transportation network companies on urban mobility," Nature Sustainability, Nature, vol. 4(6), pages 494-500, June.
    12. LeRoy, Stephen F. & Sonstelie, Jon, 1983. "Paradise lost and regained: Transportation innovation, income, and residential location," Journal of Urban Economics, Elsevier, vol. 13(1), pages 67-89, January.
    13. Yash Babar & Gordon Burtch, 2020. "Examining the Heterogeneous Impact of Ride-Hailing Services on Public Transit Use," Information Systems Research, INFORMS, vol. 31(3), pages 820-834, September.
    14. Abadie, Alberto & Diamond, Alexis & Hainmueller, Jens, 2010. "Synthetic Control Methods for Comparative Case Studies: Estimating the Effect of California’s Tobacco Control Program," Journal of the American Statistical Association, American Statistical Association, vol. 105(490), pages 493-505.
    15. Stephan Heblich & Stephen J Redding & Daniel M Sturm, 2020. "The Making of the Modern Metropolis: Evidence from London," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 135(4), pages 2059-2133.
    16. Hall, Jonathan D. & Palsson, Craig & Price, Joseph, 2018. "Is Uber a substitute or complement for public transit?," Journal of Urban Economics, Elsevier, vol. 108(C), pages 36-50.
    17. Teltser, Keith & Lennon, Conor & Burgdorf, Jacob, 2021. "Do ridesharing services increase alcohol consumption?," Journal of Health Economics, Elsevier, vol. 77(C).
    18. Barreto, Yuri & Silveira Neto, Raul da Mota & Carazza, Luis, 2021. "Uber and traffic safety: Evidence from Brazilian cities," Journal of Urban Economics, Elsevier, vol. 123(C).
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Maximiliano Marzetti & Rok Spruk, 2023. "Long-Term Economic Effects of Populist Legal Reforms: Evidence from Argentina," Comparative Economic Studies, Palgrave Macmillan;Association for Comparative Economic Studies, vol. 65(1), pages 60-95, March.
    2. Pekka Malo & Juha Eskelinen & Xun Zhou & Timo Kuosmanen, 2024. "Computing Synthetic Controls Using Bilevel Optimization," Computational Economics, Springer;Society for Computational Economics, vol. 64(2), pages 1113-1136, August.
    3. Andrii Melnychuk, 2024. "Synthetic Controls with spillover effects: A comparative study," Papers 2405.01645, arXiv.org.
    4. Alexander Goryunov & Elena Ageshina & Igor Lavrentev & Polina Peretyatko, 2023. "Estimating the effect of Russia’s development policy in the Far Eastern region: The synthetic control approach," Applied Econometrics, Russian Presidential Academy of National Economy and Public Administration (RANEPA), vol. 72, pages 58-72.
    5. Haruaki Hirota & Hideo Yunoue, 2026. "Under control versus self-reconstruction after fiscal bankruptcy in municipalities," International Tax and Public Finance, Springer;International Institute of Public Finance, vol. 33(1), pages 234-279, February.
    6. Lee, Yong-Jin Alex & Nilsson, Isabelle, 2025. "Estimating the effect of a state-level charging infrastructure funding program on plug-in electric vehicle adoption," Journal of Transport Geography, Elsevier, vol. 129(C).
    7. Alcobia, João & Sobreira, Nuno & Cabral, Ricardo, 2025. "What could have been? A synthetic control evaluation of the effect of the Economic and Monetary Union on the net external wealth of periphery member states," Economic Systems, Elsevier, vol. 49(3).
    8. David Gilchrist & Thomas Emery & Nuno Garoupa & Rok Spruk, 2023. "Synthetic Control Method: A tool for comparative case studies in economic history," Journal of Economic Surveys, Wiley Blackwell, vol. 37(2), pages 409-445, April.
    9. Nadine McCloud, 2022. "Does domestic investment respond to inflation targeting? A synthetic control investigation," International Economics, CEPII research center, issue 169, pages 98-134.
    10. Roberta Di Stefano & Giovanni Mellace, 2020. "The inclusive synthetic control method," Working Papers 21/20, Sapienza University of Rome, DISS.
    11. David Powell, 2026. "Imperfect Synthetic Controls," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 41(3), pages 253-264, April.
    12. Niklas Potrafke & Luisa Dörr & Klaus Gründler & Tuuli Tähtinen & Luisa Dörr, 2025. "Female Leaders and the Representation of Women in Government," CESifo Working Paper Series 11851, CESifo.
    13. Pier Basaglia & Sophie M. Behr & Moritz A. Drupp, 2023. "De-Fueling Externalities: How Tax Salience and Fuel Substitution Mediate Climate and Health Benefits," Discussion Papers of DIW Berlin 2041, DIW Berlin, German Institute for Economic Research.
    14. Demirci, Murat, 2023. "Youth responses to political populism: Education abroad as a step toward emigration," Journal of Comparative Economics, Elsevier, vol. 51(2), pages 653-673.
    15. Thomas Barnebeck Andersen, 2023. "The Cost of a Currency Peg during the Great Recession," Open Economies Review, Springer, vol. 34(2), pages 255-279, April.
    16. Rok Spruk, Mitja Kovac, Nuno Garoupa, 2024. "The boulevard of broken dreams? Long-run effects of labor-managed socialism," European Journal of Comparative Economics, Cattaneo University (LIUC), vol. 21(2), pages 167-210, December.
    17. Piero Basaglia & Sophie M. Behr & Moritz A. Drupp, 2025. "Fuel Taxation and Environmental Externalities: Evidence from the World’s Largest Environmental Tax Reform," CESifo Working Paper Series 11949, CESifo.
    18. Ignacio Martinez & Jaume Vives-i-Bastida, 2022. "Bayesian and Frequentist Inference for Synthetic Controls," Papers 2206.01779, arXiv.org, revised Jul 2024.
    19. Justin C. Wiltshire, 2023. "Walmart Supercenters and Monopsony Power: How A Large, Low-Wage Employer Impacts Local Labor Markets," Department Discussion Papers 2304, Department of Economics, University of Victoria.
    20. Pier Basaglia & Sophie M. Behr & Moritz A. Drupp & Piero Basaglia, 2023. "De-Fueling Externalities: Causal Effects of Fuel Taxation and Mediating Mechanisms for Reducing Climate and Pollution Costs," CESifo Working Paper Series 10508, CESifo.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:wly:canjec:v:58:y:2025:i:3:p:892-939. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://doi.org/10.1111/(ISSN)1540-5982 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.