nep-tre New Economics Papers
on Transport Economics
Issue of 2018‒04‒09
fifteen papers chosen by
Erik Teodoor Verhoef
Vrije Universiteit Amsterdam

  1. An analysis of the impact of larger aircraft (A-380) on flight frequency By Aliya Ussinova; Isabelle Laplace; Chantal Latgé-Roucolle
  2. The changes of activity-travel participation across gender, life-cycle, and generations in Sweden over 30 years By Susilo, Yusak; Liu, Chengxi; Börjesson, Maria
  3. Distributional effects of fares and frequencies for public transport in small cities By Asplund, Disa; Pydokke, Roger
  4. Satisfaction with crowding in public transport By Rubensson, Isak; Börjesson, Maria
  5. Estimating Elasticity of Transport Fuel Demand in Pakistan By Muhammad Omer
  6. Imperfect competition in a network industry: The case of the European rail freight market By Florent Laroche; Christa Sys; Thierry Vanelslander; Eddy Van de Voorde
  7. The Causal Effect of Infrastructure Investments on Income Inequality: Evidence from US States By Emma Hooper; Sanjay Peters; Patrick Pintus
  8. Do small cities need more public transport subsidies than big cities? By Börjesson, Maria; Fung, Chau Man; Proost, Stef; Yan, Zifei
  9. The long-term effects of the historical Roman road network: trade costs of Italian provinces By L. De Benedictis; V. Licio; AM. Pinna
  10. The Long-Run Relationship between Transport Energy Consumption and Transport Infrastructure on Economic Growth in MENA Countries By Samir, Saidi; Shahbaz, Muhammad; Akhtar, Pervaiz
  11. How Transport Costs Affect the Decision to Purchase a New or a Remanufactured Good By Batabyal, Amitrajeet; Beladi, Hamid
  12. Le financement des infrastructures routières, contraintes, opportunités et ambitions nouvelles ! By Yves Crozet
  13. "The Impact of Rideshare in Japan" By Kazuro Saguchi; Sanford Jacoby
  14. Les actifs à mobilité atypique pour le travail à travers l’Enquête déplacements régionale Rhône-Alpes 2012-2015 By Pascal Pochet; Patricia Lejoux; Minming Chen
  15. China and globalization: the insertion of the Chinese car industry in Algeria and Morocco By Thierry Pairault

  1. By: Aliya Ussinova (Toulouse School of Economics); Isabelle Laplace (ENAC - Ecole Nationale de l'Aviation Civile); Chantal Latgé-Roucolle (ENAC - Ecole Nationale de l'Aviation Civile)
    Abstract: Innovations in the airline industry can have a significant impact on the behavior of air transport stakeholders: airline companies, airports and passengers. In this paper, we consider the introduction of a double-deck plane, the A-380, which is currently the largest aircraft available. Due to its size, it is able to carry at once approximately twice as many passengers as any other medium-sized aircraft. When associated with a reduction in flight frequencies , the operation of such aircraft is expected to lower the environmental impact. However, flight frequency depends on factors others than the aircraft size, such as airport fees, demand and strategic decisions of companies to maximize their profits under competition. Using a monthly panel data set on airlines' supply over 10 years, on 118 routes, we test if the use of the A-380 impacts airlines' flight frequency at a route-level. Results suggest that heavy use of the A-380 leads airlines to reduce their own flight frequency. We also find that when facing the introduction of the A-380 on a route, airlines will tend to react by increasing their own flight frequency.
    Keywords: airline innovation,flight frequency,A-380,airline competition Acknowledgements
    Date: 2018
    URL: http://d.repec.org/n?u=RePEc:hal:journl:hal-01682632&r=tre
  2. By: Susilo, Yusak (CTS - Centre for Transport Studies Stockholm (KTH and VTI)); Liu, Chengxi (CTS - Centre for Transport Studies Stockholm (KTH and VTI)); Börjesson, Maria (CTS - Centre for Transport Studies Stockholm (KTH and VTI))
    Abstract: Customer Satisfaction Surveys conducted among public transport passengers over 15 years in Stockholm show that the satisfaction with crowding has been and is low. Surprisingly, however, crowding does not seem to be important for the passengers’ total satisfaction with the public transport service, not even for passengers on the most highly crowded bus services in central Stockholm. A possible reason is that crowding is not perceived as part of the service delivered by the public transport provider. Using less aggregated data than previous studies we also find that the performance of the attributes crowding, reliability and frequency influences satisfaction with these attributes. Moreover, a general result is that when comparing different bus lines and public transport modes, the satisfaction with an attribute is influenced by the performance of this attribute, while the importance level is much more stable across bus lines and public transport modes. There is also a trend increase in the satisfaction with many attributes (but not for crowding), while the importance is more stable over time.
    Keywords: activity-travel patterns; life cycle stages; long term changes; time-use; intra-household interaction
    JEL: R41 R42 R48
    Date: 2018–03–23
    URL: http://d.repec.org/n?u=RePEc:hhs:ctswps:2018_008&r=tre
  3. By: Asplund, Disa (CTS - Centre for Transport Studies Stockholm (KTH and VTI)); Pydokke, Roger (CTS - Centre for Transport Studies Stockholm (KTH and VTI))
    Abstract: This paper evaluates the impacts of different social welfare weights on fares and frequencies, optimized to maximize welfare for bus services in the small Swedish city of Uppsala, handling both congestion in streets and crowding in public transport. It represents choice between three modes; public transport, car and a combination of walking and cycling, two periods; peak and off-peak, two zones and three origin-destination combinations. Six scenarios are evaluated; the base year (2014), a welfare optimal combination without distributional concerns and welfare optimal policies for four different sets of welfare weights with various degrees of progressivity. The main results are that, compared to the welfare optimal scenario without distributional weights, increasing the welfare weights of the low-income group increases frequencies and reduces fares successively. Comparing the simulation results to the fares and frequencies in Uppsala in 2014, optimal frequencies with even the most far reaching distributional objectives are lower.
    Keywords: Income distribution; Distributional weights; Optimization; Public transport; Welfare; Fares; Frequencies
    JEL: R10 R41 R48
    Date: 2018–03–23
    URL: http://d.repec.org/n?u=RePEc:hhs:ctswps:2018_007&r=tre
  4. By: Rubensson, Isak (CTS - Centre for Transport Studies Stockholm (KTH and VTI)); Börjesson, Maria (CTS - Centre for Transport Studies Stockholm (KTH and VTI))
    Abstract: Customer Satisfaction Surveys conducted among public transport passengers over 15 years in Stockholm show that the satisfaction with crowding has been and is low. Surprisingly, however, crowding does not seem to be important for the passengers’ total satisfaction with the public transport service, not even for passengers on the most highly crowded bus services in central Stockholm. A possible reason is that crowding is not perceived as part of the service delivered by the public transport provider. Using less aggregated data than previous studies we also find that the performance of the attributes crowding, reliability and frequency influences satisfaction with these attributes. Moreover, a general result is that when comparing different bus lines and public transport modes, the satisfaction with an attribute is influenced by the performance of this attribute, while the importance level is much more stable across bus lines and public transport modes. There is also a trend increase in the satisfaction with many attributes (but not for crowding), while the importance is more stable over time.
    Keywords: Customer Satisfaction; Service Quality; Stated Preference; Public Transport; Preferences; Crowding; Reliability
    JEL: R41 R42 R48
    Date: 2018–03–23
    URL: http://d.repec.org/n?u=RePEc:hhs:ctswps:2018_006&r=tre
  5. By: Muhammad Omer (State Bank of Pakistan)
    Abstract: This study investigates the fuel demand elasticities separately for petrol, diesel, and CNG using data from July 2004 to June 2015 for Pakistan. The results show that fuel demands are generally (own and cross price) inelastic in the short run, but are relatively elastic in the long run. Though these short run estimates are in line with the literature, the long run estimates differ considerably. Administrative intervention in fuel pricing, load management in CNG sector and its close to perfect substitutability with petrol is driving this long run price elasticity result. Moreover, income elasticity estimates suggest that petrol is a normal good while diesel and CNG are inferior goods. The estimates remain robust when lag demands of substitutes, the exchange rate, and real fuel prices are separately included in the model.
    Keywords: Fuel Price, Elasticity, Transport Sector
    JEL: Q40 L90
    Date: 2018–03
    URL: http://d.repec.org/n?u=RePEc:sbp:wpaper:96&r=tre
  6. By: Florent Laroche (LAET - Laboratoire Aménagement Économie Transports - UL2 - Université Lumière - Lyon 2 - ENTPE - École Nationale des Travaux Publics de l'État - CNRS - Centre National de la Recherche Scientifique); Christa Sys (BNP Paribas Fortis chair on transport, logistics and ports); Thierry Vanelslander (Department of Transport and Regional Economics - UA - University of Antwerp); Eddy Van de Voorde (Department of Transport and Regional Economics - UA - University of Antwerp)
    Abstract: Purpose: This paper opts for a time varying approach to measure the competition on the European rail freight sector according to two questions: what is the current level of competition and how is this expected to evolve in the long run? Approach: A firm-level dynamic panel estimates the persistence of profit in the European rail freight sector. Main findings: The persistence of profits shows a high degree of competition in the short run but imperfect in the long run due to the existence of barriers on the market. Secondly, the ratio between capital and labour cost is calculated. It indicates moderate economies of scale. Originality:Knowledge about this new market and the dynamics are limited in the academic literature. The research is relevant for the policy makers to monitor the rail freight market and to harmonise the practices between network managers to improve the European single market.
    Keywords: Single market,Persistence of profits,Rail freight,barriers,competition,persistence of profit
    Date: 2017
    URL: http://d.repec.org/n?u=RePEc:hal:journl:halshs-01655013&r=tre
  7. By: Emma Hooper (French DG Treasury); Sanjay Peters (Columbia University [New York]); Patrick Pintus (InSHS - CNRS - Institut des Sciences Humaines et Sociales - CNRS - INS1640, GREQAM - Groupement de Recherche en Économie Quantitative d'Aix-Marseille - ECM - Ecole Centrale de Marseille - CNRS - Centre National de la Recherche Scientifique - AMU - Aix Marseille Université - EHESS - École des hautes études en sciences sociales)
    Abstract: Through utilizing US state-level data at annual frequency from 1976 to 2008, this paper documents a causal effect of infrastructure investments, specifically public spending on highways, on income inequality. The number of seats in the US House of Representatives Committee On Appropriations serves as a valid instrument to identify quasi-random variations in state-level spending on highways. When a given state gains an additional committee member, which is rather exogenous, new federal grants are allocated to that state, resulting in the state government slashing its investment expenditures on highways. In other words, a crowding-out effect of federal funding for state investment in highways is at play. The main contribution of this paper is to show that such committee-driven cuts in spending on highways cause an increase in income inequality within a two-year horizon. In addition, we show that wages paid for construction jobs correlate positively and strongly with spending on highways at the state level. This further provides suggestive evidence that the construction sector plays an important role in the transmission channel from a rise in state spending on highways to a reduction in income inequality.
    Keywords: public infrastructure,highways,income inequality,US state panel data,instrument variable
    Date: 2018–01
    URL: http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-01684565&r=tre
  8. By: Börjesson, Maria (VTI); Fung, Chau Man (KU Leuven); Proost, Stef (KU Leuven); Yan, Zifei (CTS - Centre for Transport Studies Stockholm (KTH and VTI))
    Abstract: This paper compares the optimal public transport subsidies for a representative bus corridor in a small city (Karlstad) and in a big city (Stockholm) in Sweden. In the smaller city, the optimization of the fare is more important for welfare, whereas in the larger city, the frequency is more important. Moreover, the optimal subsidy is higher in small than in large cities because of larger positive externalities of reduced waiting and schedule delay costs, whereas the negative crowding externalities are larger in the large city. The bus subsidy is important for the income distribution in the small city.
    Keywords: Cost-Benefit Analysis; Transport plan; Public transport; Subsidies; External costs; Fares; Frequencies; Bus stops; Redistribution
    JEL: R41 R42 R48
    Date: 2018–03–23
    URL: http://d.repec.org/n?u=RePEc:hhs:ctswps:2018_005&r=tre
  9. By: L. De Benedictis; V. Licio; AM. Pinna
    Abstract: The paper provides evidence of the causal effect of infrastructure on trade costs, for the 107 Italian provinces (NUTS3), testing whether current differences in trade costs among provinces can be traced back to the structure of the historical Roman road network. By constructing a specific measure of the extent of the Roman road network for each Italian province and relying on an instrumental variables approach, the empirical analysis shows that having an integrated road system, as the one built during the Roman Empire, plays an important role in current international trade. The study confirms not only the importance of history for contemporary economic development, but also the significant role played by the historical infrastructure in shaping geography and in determining current trade patterns via the influence on today's infrastructure.
    Keywords: trade costs;Roman roads;Provinces;Long-term effects of history;italy
    Date: 2018
    URL: http://d.repec.org/n?u=RePEc:cns:cnscwp:201801&r=tre
  10. By: Samir, Saidi; Shahbaz, Muhammad; Akhtar, Pervaiz
    Abstract: This paper investigates the impact of transport energy consumption and transport infrastructure on economic growth by utilizing panel data on MENA countries (the Middle East and North Africa region) for the period of 2000-2016. The MENA region panel is divided into three sub-groups of countries: GCC panel (containing the Gulf Cooperation Council countries), N-GCC panel (containing countries that are not members of the Gulf Cooperation Council), and North African countries (called MATE — Morocco, Algeria, Tunisia and Egypt). Using the Generalized Method of Moments (GMM), we find that transport energy consumption significantly adds to economic growth in MENA, N-GCC and MATE regions. Transport infrastructure positively contribute to economic growth in all regions. The Dumitrescu-Hurlin panel causality analysis shows the feedback effect of transport energy consumption and transport infrastructure with economic growth. The empirical results add a new dimension to the importance of investing in modern infrastructure that facilitates the use of more energy-efficient modes and alternative technologies that positively affect the economy with minimizing negative externalities.
    Keywords: Transport, Energy Consumption, Infrastructure, Economic Growth, GMM, MENA Countries
    JEL: A1
    Date: 2018–03–01
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:85037&r=tre
  11. By: Batabyal, Amitrajeet; Beladi, Hamid
    Abstract: We provide the first strategic analysis of the interaction between a continuum of potentially green consumers and two firms in regional science. Firm 1 (2) sells new (remanufactured) toner cartridges. Each firm selects its price and a consumer purchases from the firm that offers her the highest utility. Utility is given by a surplus measure, the price, and by the transport cost incurred in traveling to a firm’s location. We first derive the best response functions of the two firms. Second, we stipulate a numerical value for the surplus measure and show that when the two firms select their “monopoly” prices, the Nash equilibrium is unique. Third, we specify a linear transport cost function with a constant coefficient and show that the costlier it is for consumers to get to the locations of the two firms, the higher is the price charged by these two firms. Finally, our analysis shows that there is a need to study models in which the two toner cartridges are dissimilar, the interaction between consumers and firms is repeated, and behavioral factors are taken into account.
    Keywords: Bertrand Model, New Good, Purchase, Remanufactured Good, Transport Cost
    JEL: Q57 R41
    Date: 2017–12–09
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:85315&r=tre
  12. By: Yves Crozet (LAET - Laboratoire Aménagement Économie Transports - UL2 - Université Lumière - Lyon 2 - ENTPE - École Nationale des Travaux Publics de l'État - CNRS - Centre National de la Recherche Scientifique, IEP Lyon - Sciences Po Lyon - Institut d'études politiques de Lyon)
    Abstract: Le financement des infrastructures de transport, et particulièrement des infrastructures routières, se heurte à la rareté croissante des fonds publics. A cette contrainte financière s’ajoutent des exigences environnementales de plus en plus prégnantes. Mais cela ne signifie pas que la route, vecteur de plus de 80 % des mobilités (voyageurs et marchandises), soit condamnée. Avec l’actuel « retour de la route » dans les pratiques de mobilité, des opportunités nouvelles apparaissent, tant technologiques que financières. Elles ouvrent la voie à une nouvelle ambition : créer un service public industriel et commercial de la route, un service marchand ! Cette note propose de repenser le service public de la route en le rendant à la fois plus assuré de ses financements et plus à même de faire appel aux capacités du secteur privé pour relever les défis de l’innovation. Pour cela nous proposons de développer une nouvelle organisation fondée sur le couple tarification-contractualisation. A l’instar d’autres industries de réseaux, la route doit faire l’objet d’une redevance d’usage dont les collectivités territoriales devraient être les principales bénéficiaires. Avec l’Etat, des contrats pourraient être signés afin que se développe un véritable service public industriel et commercial de la route lequel pourrait aussi s’appuyer sur des contrats de partenariat avec les acteurs privés, source majeure d’innovations.
    Keywords: financement,infrastructures de transport,infrastructures routières,France
    Date: 2017–06
    URL: http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-01696950&r=tre
  13. By: Kazuro Saguchi (Graduate School of Economics, The University of Tokyo); Sanford Jacoby (Luskin School of Economics, University of California Los Angeles)
    Abstract: Recently we have seen that the symbol of the Sharing Economy--Uber--has met with resistance in many countries but least of all in the United States. Japan is one of those countries where Uber has been confronted by strong forces of opposition. Yet the situation of Uber in Japan deserves special analysis so as to bring out the essential conditions for ridesharing to enter a nation without difficulty. In this paper, we pay attention especially to the employment status of the average Japanese taxi driver and to the position of taxis in the Japanese transportation system. For these factors, we find clear differences between Japan and the United States. We also find that the possibility of ridesharing in Japan has transformed the working situation of taxi drivers in Japan. We discusss, from various viewpoints, how these factors may lead to a drastic dualization of drivers in Japan’s taxi industry.
    Date: 2018–03
    URL: http://d.repec.org/n?u=RePEc:tky:jseres:2018cj296&r=tre
  14. By: Pascal Pochet (LAET - Laboratoire Aménagement Économie Transports - UL2 - Université Lumière - Lyon 2 - ENTPE - École Nationale des Travaux Publics de l'État - CNRS - Centre National de la Recherche Scientifique); Patricia Lejoux (LAET - Laboratoire Aménagement Économie Transports - UL2 - Université Lumière - Lyon 2 - ENTPE - École Nationale des Travaux Publics de l'État - CNRS - Centre National de la Recherche Scientifique); Minming Chen
    Abstract: Les mobilités quotidiennes pour le travail ont connu de nombreux changements ces dernières décennies en France, en dépit d’un recours à la voiture toujours massif. Elles recouvrent aujourd’hui des formes multiples qui semblent liées, notamment, à la diversification croissante des lieux où le travail peut être effectué (multiplication des lieux fréquentés, éloignement entre lieu de résidence et lieu de travail) et des temporalités dans lesquelles il s’inscrit (transformation des rythmes hebdomadaires, horaires décalés de déplacements travail dans la journée). Encore très centrée sur la figure archétypique d’un aller-retour quotidien entre le lieu de résidence et le lieu de travail à des horaires réguliers, la définition d’offres de transport collectif est confrontée à cette diversité et à ces évolutions. Une meilleure connaissance et compréhension des pratiques de mobilité des catégories d’actifs à mobilité atypique apparaît un préalable aux réflexions sur les nécessaires adaptations de l’offre de transport aux besoins de déplacement. L’enquête déplacements 2012-2015 de la Région Rhône-Alpes offre une base statistique permettant d’explorer ces questions sur un vaste territoire. Nous présentons tout d’abord des éléments de méthode, puis nous décrivons en les comparant, sept catégories d’actifs à mobilité atypique, définies par leur dimension spatiale (actifs sans lieu de travail fixe, travaillant à domicile, loin du domicile, en dehors de la région Rhône-Alpes) puis temporelle (actifs arrivant tôt sur le lieu de travail, repartant tard, s’y rendant en heure creuse de journée). Leurs profils socio-démographique, résidentiel et socio-économique sont présentés ainsi que différents indicateurs caractérisant leur mobilité quotidienne. Les principales associations sont mises en évidence par une Analyse des Correspondances Multiples. Enfin, une régression logit binaire, puis une régression multinomiale sont appliquées pour étudier dans quelle mesure le fait d’avoir une mobilité atypique influence, indépendamment de l’effet des ressources de mobilité de la personne, de ses caractéristiques socio-économiques, socio-démographiques et résidentielles, les probabilités d’utiliser comme mode de déplacement principal en semaine, la voiture, puis les transports collectifs ou les modes actifs.
    Date: 2017–10
    URL: http://d.repec.org/n?u=RePEc:hal:wpaper:halshs-01702558&r=tre
  15. By: Thierry Pairault (CECMC-CCJ - Centre d'études sur la Chine moderne et contemporaine - EHESS - École des hautes études en sciences sociales - CNRS - Centre National de la Recherche Scientifique)
    Abstract: From Bandung to the present day, China's place and role in Africa have evolved considerably. Thierry Pairault shows that through the desire to integrate Chinese carmakers and manufacturers in the Algerian and Moroccan economies, the shift towards a predominant market logic in Sino-African relations is also accompanied by a gradual changeover between regions - in this case from Algeria to Morocco. Also appears a diversion of the internationalization of China. The partnerships signed by Chinese companies in the Algerian and Moroccan automobile sectors are less the manifestation of their integration than a modality of the globalization of traditional manufacturers through their Chinese partners - not to say their Chinese subsidiaries.
    Abstract: De Bandung à nos jours, la place et le rôle de la Chine en Afrique ont considérablement évolué. Thierry Pairault montre qu’à travers la volonté d’insertion dans les économies algérienne et marocaine des constructeurs et équipementiers automobiles chinois, le basculement vers une logique de marché prédominante dans les relations sino-africaines s’accompagne également d’un basculement progressif entre pôles régionaux – en l’espèce de l’Algérie vers le Maroc. Apparaît en outre un détournement de l’internationalisation de la Chine. Les partenariats que signent les entreprises chinoises dans les filières automobiles algérienne et marocaine sont moins la manifestation de leur insertion qu’une modalité de la mondialisation des constructeurs traditionnels par l’intermédiaire de leurs partenaires chinois – pour ne pas dire leurs filiales chinoises.
    Date: 2018
    URL: http://d.repec.org/n?u=RePEc:hal:journl:halshs-01695880&r=tre

This nep-tre issue is ©2018 by Erik Teodoor Verhoef. It is provided as is without any express or implied warranty. It may be freely redistributed in whole or in part for any purpose. If distributed in part, please include this notice.
General information on the NEP project can be found at http://nep.repec.org. For comments please write to the director of NEP, Marco Novarese at <director@nep.repec.org>. Put “NEP” in the subject, otherwise your mail may be rejected.
NEP’s infrastructure is sponsored by the School of Economics and Finance of Massey University in New Zealand.