IDEAS home Printed from https://ideas.repec.org/p/mut/wpaper/29.html
   My bibliography  Save this paper

Ride-Hailing Services in Germany: Potential Impacts on Public Transport, Motorized Traffic, and Social Welfare

Author

Listed:
  • David Ennnen

    (Institute of Transport Economics, Muenster)

  • Thorsten Heilker

Abstract

In the policy debate on ride-hailing services such as Uber, the impacts on traffic, emissions, and public transport are hotly discussed. The regulatory framework in Germany has so far prevented a widespread entry of ride-hailing providers. In this paper, we use a mode choice model and trip data to determine the likely impacts of ride-hailing services for a representative region in Germany. We find that the significantly lower fares compared to taxis lead to strong substitution of public transport, cycling, and walking. As a consequence, motorized traffic increases, despite the pooling of individual rides by ride-hailing providers. However, the total impact on mode choice and traffic remains modest, and a widespread displacement of public transport is not to be expected. The final welfare analysis shows that the emergence of ride-hailing services is beneficial for society as a whole. In particular, the benefits from lower fares exceed the external costs arising from additional motorized traffic.

Suggested Citation

  • David Ennnen & Thorsten Heilker, 2020. "Ride-Hailing Services in Germany: Potential Impacts on Public Transport, Motorized Traffic, and Social Welfare," Working Papers 29, Institute of Transport Economics, University of Muenster.
    • Handle: RePEc:mut:wpaper:29
    as

    Download full text from publisher

    File URL: https://www.wiwi.uni-muenster.de/ivm/sites/ivm/files/documents/forschung/diskussionspapiere/workingpaper29.pdf
    File Function: First version, 2020
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Itf, 2016. "Shared Mobility: Innovation for Liveable Cities," International Transport Forum Policy Papers 21, OECD Publishing.
    2. Judd Cramer & Alan B. Krueger, 2016. "Disruptive Change in the Taxi Business: The Case of Uber," American Economic Review, American Economic Association, vol. 106(5), pages 177-182, May.
    3. Itf, 2017. "Shared Mobility Simulations for Helsinki," International Transport Forum Policy Papers 39, OECD Publishing.
    4. 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.
    5. Circella, Giovanni & Alemi, Farzad & Tiedeman, Kate & Handy, Susan & Mokhtarian, Patricia, 2018. "The Adoption of Shared Mobility in California and Its Relationship with Other Components of Travel Behavior," Institute of Transportation Studies, Working Paper Series qt1kq5d07p, Institute of Transportation Studies, UC Davis.
    6. Cardell, N. Scott, 1997. "Variance Components Structures for the Extreme-Value and Logistic Distributions with Application to Models of Heterogeneity," Econometric Theory, Cambridge University Press, vol. 13(2), pages 185-213, April.
    7. Wardman, Mark & Chintakayala, V. Phani K. & de Jong, Gerard, 2016. "Values of travel time in Europe: Review and meta-analysis," Transportation Research Part A: Policy and Practice, Elsevier, vol. 94(C), pages 93-111.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Zwick, Felix & Axhausen, Kay W., 2022. "Ride-pooling demand prediction: A spatiotemporal assessment in Germany," Journal of Transport Geography, Elsevier, vol. 100(C).

    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. Lazarus, Jessica R. & Caicedo, Juan D. & Bayen, Alexandre M. & Shaheen, Susan A., 2021. "To Pool or Not to Pool? Understanding opportunities, challenges, and equity considerations to expanding the market for pooling," Transportation Research Part A: Policy and Practice, Elsevier, vol. 148(C), pages 199-222.
    2. Alejandro Tirachini, 2020. "Ride-hailing, travel behaviour and sustainable mobility: an international review," Transportation, Springer, vol. 47(4), pages 2011-2047, August.
    3. Shaheen, Susan PhD & Lazarus, Jessica & Caicedo, Juan & Bayen, Alexandre PhD, 2021. "To Pool or Not to Pool? Understanding the Time and Price Tradeoffs of OnDemand Ride Users – Opportunities, Challenges, and Social Equity Considerations for Policies to Promote Shared-Ride Services," Institute of Transportation Studies, Research Reports, Working Papers, Proceedings qt44q6n0mm, Institute of Transportation Studies, UC Berkeley.
    4. Wang, Sicheng & Smart, Michael, 2020. "The disruptive effect of ridesourcing services on for-hire vehicle drivers’ income and employment," Transport Policy, Elsevier, vol. 89(C), pages 13-23.
    5. John M. Barrios & Yael Hochberg & Hanyi Yi, 2020. "The Cost of Convenience: Ridehailing and Traffic Fatalities," NBER Working Papers 26783, National Bureau of Economic Research, Inc.
    6. Tarduno, Matthew, 2021. "The congestion costs of Uber and Lyft," Journal of Urban Economics, Elsevier, vol. 122(C).
    7. Adam Millard-Ball & Liwei Liu & Whitney Hansen & Drew Cooper & Joe Castiglione, 2023. "Where ridehail drivers go between trips," Transportation, Springer, vol. 50(5), pages 1959-1981, October.
    8. Ong, Felita & Loa, Patrick & Nurul Habib, Khandker, 2024. "Ride-sourcing demand in Metro Vancouver: Looking through the lens of disability," Transportation Research Part A: Policy and Practice, Elsevier, vol. 181(C).
    9. Yu, Haitao & Peng, Zhong-Ren, 2019. "Exploring the spatial variation of ridesourcing demand and its relationship to built environment and socioeconomic factors with the geographically weighted Poisson regression," Journal of Transport Geography, Elsevier, vol. 75(C), pages 147-163.
    10. Yiyuan Wang & Qing Shen, 2024. "A latent class analysis to understand riders’ adoption of on-demand mobility services as a complement to transit," Transportation, Springer, vol. 51(3), pages 1043-1061, June.
    11. Yves Crozet & Jean Coldefy, 2021. "Mobility as a Service (MaaS): a digital roadmap for public transport authorities," Working Papers halshs-03169744, HAL.
    12. Zhang, Zhaolin & Zhai, Guocong & Xie, Kun & Xiao, Feng, 2022. "Exploring the nonlinear effects of ridesharing on public transit usage: A case study of San Diego," Journal of Transport Geography, Elsevier, vol. 104(C).
    13. Alejandro Henao & Wesley E. Marshall, 2019. "The impact of ride-hailing on vehicle miles traveled," Transportation, Springer, vol. 46(6), pages 2173-2194, December.
    14. María J. Alonso-González & Oded Cats & Niels van Oort & Sascha Hoogendoorn-Lanser & Serge Hoogendoorn, 2021. "What are the determinants of the willingness to share rides in pooled on-demand services?," Transportation, Springer, vol. 48(4), pages 1733-1765, August.
    15. Rezwana Rafiq & Michael G. McNally, 2023. "An exploratory analysis of alternative travel behaviors of ride-hailing users," Transportation, Springer, vol. 50(2), pages 571-605, April.
    16. Dailisan, Damian N. & Lim, May T., 2019. "Vehicular traffic modeling with greedy lane-changing and inordinate waiting," Physica A: Statistical Mechanics and its Applications, Elsevier, vol. 521(C), pages 715-723.
    17. 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.
    18. María J. Alonso-González & Oded Cats & Niels van Oort & Sascha Hoogendoorn-Lanser & Serge Hoogendoorn, 0. "What are the determinants of the willingness to share rides in pooled on-demand services?," Transportation, Springer, vol. 0, pages 1-33.
    19. Maria Vega-Gonzalo & Álvaro Aguilera-García & Juan Gomez & José Manuel Vassallo, 2024. "Traditional taxi, e-hailing or ride-hailing? A GSEM approach to exploring service adoption patterns," Transportation, Springer, vol. 51(4), pages 1239-1278, August.
    20. Guilherme Mendes Resende & Ricardo Carvalho de Andrade Lima, 2018. "Working Paper No. 001/2018 - Competition Effects of the Sharing Economy in Brazil: Has Uber's entry affected the cab-hailing app market from 2014 to 2016?," Documentos de Trabalho 2018011, Conselho Administrativo de Defesa Econômica (Cade), Departamento de Estudos Econômicos.

    More about this item

    Keywords

    Ride-hailing; Transportation Network Company; TNC; Taxi; Regulation; Germany;
    All these keywords.

    JEL classification:

    • L92 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Railroads and Other Surface Transportation
    • L98 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Government Policy

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:mut:wpaper:29. 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: Birgit Rueschenschmidt (email available below). General contact details of provider: https://edirc.repec.org/data/ilmuede.html .

    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.