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Is it expensive to be poor? Public transport in Sweden

Author

Listed:
  • Anders Bondemark

    (Skane University Hospital [Lund])

  • Henrik Andersson

    (TSE-R - Toulouse School of Economics - UT Capitole - Université Toulouse Capitole - UT - Université de Toulouse - EHESS - École des hautes études en sciences sociales - CNRS - Centre National de la Recherche Scientifique - INRAE - Institut National de Recherche pour l’Agriculture, l’Alimentation et l’Environnement)

  • Anders Wretstrand

    (Skane University Hospital [Lund])

  • Karin Brundell-Freij

    (Skane University Hospital [Lund])

Abstract

One of the reasons to subsidise public transport is to improve the mobility of low-income groups by providing affordable public transport; however, the literature describes a situation whereby those with a low income are unable to afford the cheapest tickets per trip, i.e. travelcards, as they usually require a considerable up-front cost. In this study, we use a large dataset from the Swedish National Travel Survey to investigate whether, and if so how, income explains monthly travelcard possession among individuals for whom this would have been the least expensive option. We find a robust positive relationship between income and travelcard possession among low-income earners, indicating that those with a low income pay more to use public transport than more affluent individuals. As the accessibility of low-income groups is an important motivation for public transport subsidies, the findings from this study have important policy implications.

Suggested Citation

  • Anders Bondemark & Henrik Andersson & Anders Wretstrand & Karin Brundell-Freij, 2020. "Is it expensive to be poor? Public transport in Sweden," Post-Print hal-03044001, HAL.
    • Handle: RePEc:hal:journl:hal-03044001
    DOI: 10.1007/s11116-020-10145-5
    Note: View the original document on HAL open archive server: https://hal.science/hal-03044001
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    References listed on IDEAS

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    More about this item

    Keywords

    Fares; Public transport; Income; Liquidity constraints;
    All these keywords.

    JEL classification:

    • R48 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Government Pricing and Policy
    • H41 - Public Economics - - Publicly Provided Goods - - - Public Goods
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis

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