The effect of public transport quality on car ownership : a source of wider benefits?

Abstract

This paper discusses the potential impact of public transport service levels on car ownership and it is discussed whether this connection can be seen as a source of wider economic benefits that would ensue from improving the public transport system. To study the interrelationship between public transport demand and car ownership, a model is estimated using data from 21 Swedish counties from 1986 to 2015. It is concluded that car ownership is affected by the service levels in the public transport system, and that this effect results in additional benefits from improving the public transport system. Keywords: public transport, car ownership, cost-benefit analysis, wider economic benefits, demand, supply