nep-tre New Economics Papers
on Transport Economics
Issue of 2023‒10‒30
twelve papers chosen by
Erik Teodoor Verhoef, Vrije Universiteit Amsterdam


  1. The Role of Electric Vehicles in Road Transport Decarbonization: Exploring Environmental Impacts and Policy Implications through a Systematic Literature Review of System Dynamics Approaches By Debalke, Negash Mulatu
  2. Towards the Light: Effective Light Mobility Policies in Cities By ITF
  3. Do ride-hailing services worsen freeway congestion and air quality? Evidence from Uber's entry in California By Kiran B. Krishnamurthy, Chandra; Ngo, Nicole
  4. Estimating the effect of urban road congestion on air quality in Latin America By Bedoya-Maya, Felipe; Calatayud, Agustina; González Mejia, Vileydy
  5. The Hydrogen Fuel Pathway for Air Transportation By Li, Guozhen
  6. Global biodiversity implications from electric vehicles in the United States By Dumortier, Jerome; Elobeid, Amani; Carriquiry, Miguel
  7. Determinants of Medium- and Heavy-Duty Truck Fleet Turnover By Kurani, Kenneth S; Miller, Marshall; Sugihara, Claire; Stepnitz, Eli-Alston; Nesbitt, Kevin A
  8. Valuing Public Transit: The L-Train Shutdown By Becka Brolinson
  9. Experience of international car manufacturers in accessing sustainable products for circular economy development By Nam, Nguyen Hoang
  10. When Is High Turnover Cheaper? A Simple Model of Cost Tradeoffs in a Long‐Distance Truckload Motor Carrier, with Empirical Evidence and Policy Implications By Burks, Stephen V.; Kildegaard, Arne; Miller, Jason W.; Monaco, Kristen
  11. Accessibility in the Seoul Metropolitan Area: Does Transport Serve All Equally? By ITF
  12. Sustainable Aviation Fuels: Policy Status Report By ITF

  1. By: Debalke, Negash Mulatu
    Abstract: The systematic review examines the use of system dynamics models to decarbonize road transport with electric vehicles (EVs). The study assesses model structures, components, functions, and their environmental and policy implications across 31 selected journal articles. The review finds that many papers lack quantitative aspects and do not adequately validate their models, potentially limiting our understanding of policy impacts. It highlights that models often focus on policy variables for market penetration and decarbonization, overlooking holistic perspectives. Coordinated policies are crucial for effective EV adoption. The review calls for greater transparency in reporting and emphasizes the importance of understanding the time component of models. It stresses the need for model validation to ensure practical relevance. Additionally, the study suggests that EVs can reduce global greenhouse gas emissions but face various challenges. Policy tools like purchase subsidies can boost EV demand. The review underscores the necessity of a mix of policy instruments and regulatory requirements to promote EV adoption and carbon emissions reduction. It advocates a comprehensive approach involving investment, incentives, marketing, and regulation. Future research should consider holistic models, explore EVs' role in Africa, and investigate emissions reduction at the mode of transportation level.
    Keywords: road transport; decarbonization; electric vehicle; emission reduction; policy implication; system dynamics; systematic literature review.
    JEL: Q42 Q52 Q54 Q58 Q59
    Date: 2023–02
    URL: http://d.repec.org/n?u=RePEc:pra:mprapa:118596&r=tre
  2. By: ITF
    Abstract: This report explores how traffic systems and infrastructure can be redesigned and expanded for a broader range of vehicle types, especially “smaller-than-car” or light mobility options. It identifies the potential benefits of making vehicles lighter and diversifying the range of vehicles used for everyday mobility. It also highlights successful policies for encouraging a shift towards urban light mobility in cities. Finally, it presents strategies for implementing frameworks for such policies and highlights measures decision makers should consider as part of their light mobility strategy.
    Date: 2023–08–07
    URL: http://d.repec.org/n?u=RePEc:oec:itfaac:118-en&r=tre
  3. By: Kiran B. Krishnamurthy, Chandra (CERE - Center for Environmental and Resource Economics (CERE), Department of Forest Economics, Swedish University of Agricultural Sciences, SLU, Umeå, Sweden); Ngo, Nicole (School of Planning, Public Policy, and Management, University of Oregon)
    Abstract: We investigate the effects of Uber’s entry on freeway traffic and pollution in California. We use a panel difference-in-differences design and exploit variation in timing and occurrence of Uber’s entry into different counties using hourly freeway traffic data and daily pollution data between 2009 and 2017. We find reductions in weekday freeway congestion and PM2.5 concentrations in the average county entered. However, this reduction occurs at off-peak times and in less populated counties. During evening rush hour and in the most populated counties, we find increases in congestion and air pollution. We estimate that Uber’s entry resulted in an overall net social cost between $1.4 and $13.9 million for counties where and time periods when congestion is greatest.
    Keywords: Air Pollution; Traffic Congestion; ride-hailing; ridesharing
    JEL: C21 C23 L91 R41
    Date: 2022–01–31
    URL: http://d.repec.org/n?u=RePEc:hhs:slucer:2021_018&r=tre
  4. By: Bedoya-Maya, Felipe; Calatayud, Agustina; González Mejia, Vileydy
    Abstract: Road congestion and air pollution are key challenges for quality of life in urban settings. This research leverages highly disaggregated crowdsourced data from Latin America to study the effect of road congestion on levels of carbon monoxide, nitrogen dioxide, and particulate matter in four of the most congested cities in developing countries: Bogota, Buenos Aires, Mexico City, and Santiago. Based on a panel data econometric approach with over 4.4 billion records from Waze and hourly data from 54 air monitoring stations for 2019, our two-stage least square model shows a cumulative increase of 0.6% in response to a 1% of road congestion on the three air pollutants. Moreover, we find a nonlinear relationship between road congestion and air quality and estimate the threshold above which the effect decays. This study provides evidence that supports public policies designed to make urban mobility more sustainable by implementing measures to reduce road congestion in developing contexts.
    Keywords: Congestion;Air quality;Latin America;Pollution
    JEL: R41 O18 L91 Q01
    Date: 2022–10
    URL: http://d.repec.org/n?u=RePEc:idb:brikps:12468&r=tre
  5. By: Li, Guozhen
    Abstract: This thesis is a preliminary investigation into the technical feasibility and cost effectiveness of a hydrogen-fueled aviation system. A review on hydrogen aircraft reveals that designing and manufacturing hydrogen-powered aircraft is technically feasible. Major hydrogen supply technologies are available, but their capacity is far below the need of a hydrogen aviation system. A large airport such as San Francisco International Airport (SFO) can consume over 3000 metric tons of hydrogen per day, if its air traffic is entirely fueled by hydrogen. Such an energy flow could support over 3 million typical hydrogen fuel cell cars’ normal use. Airport liquid hydrogen cost modeling provides an estimation of hydrogen fuel cost as an aviation fuel. The cost is found to be 20%-90% higher than conventional jet fuel on a per energy basis, and supplying liquid hydrogen creates major electric power and land use challenge to the airport. The economies of scale are limited when hydrogen is supplied at an airport level scale, given hydrogen production, liquefaction, delivery, and storage technologies available today. Compared to other alternative aviation fuels (e.g. biofuel and LNG), hydrogen is highly costly but offers huge GHG saving potentials.
    Keywords: Engineering, Social and Behavioral Sciences, alternative aviation fuel, hydrogen, airport, zero emission aviation
    Date: 2023–10–13
    URL: http://d.repec.org/n?u=RePEc:cdl:itsdav:qt3sh5x1vk&r=tre
  6. By: Dumortier, Jerome; Elobeid, Amani; Carriquiry, Miguel
    Abstract: The increasing number of electric vehicles in the United States (U.S.) will alter global agriculture in the upcoming decades because approximately one-third of U.S. maize production is blended with gasoline (Dumortier et al., 2022a). More electric vehicles reduce gasoline demand since every litre of gasoline sold in the U.S. contains approximately 10% ethanol. The reduction in maize ethanol demand leads to lower commodity prices not only for maize but for all other commodities as well because global crop allocation is based on the relative profitability of crops. Previous research has shown that a reduction in total cropland use is expected from an increasing fleet of electric vehicles (Dumortier et al. 2022a, b). This reduction in cropland is leading to fewer biomass and soil carbon emissions from land use change, which can be counted as an additional lifecycle benefit of electric vehicles. This paper is an extension of Dumortier et al. (2022a) by assessing the effects on biodiversity, i.e., richness of mammals, birds, and—if applicable—amphibians. The analysis combines three models: (1) U.S. light-duty vehicle model, (2) global agricultural outlook model, and (3) global biodiversity model. The first two models have been used in previous publications such as Carriquiry et al. (2020) or Elobeid et al. (2021). The biodiversity model is a new addition and is based on data sets presented in Jenkins et al. (2013). The global data set differentiates between mammals, birds, and amphibians and not only covers the species richness, i.e., the number of species for a given area, but also areas with threatened species and with a less than median number of species. We use output provided by Dumortier et al. (2022a) which calculates future U.S. maize ethanol use under various electrification scenarios in the light-duty vehicle sector until 2050. The output is generated by combining the U.S. light-duty vehicle model with the global agricultural outlook model. The important variable for this analysis is the crop area by country/region. Changes in cropland are converted into GIS raster data using the spatial distribution of cropland. Based on overlaying the raster data of changes in crop area with the biodiversity maps, we calculate how many species-rich areas are impacted by an electrification of the U.S. LDV fleet. Since the information is also available for threatened species, the calculations are done for those as well. Preliminary results indicate that fewer species are affected under more rapid electrification. The U.S. has lower species diversity than other important maize exporters such as Brazil. The reduction in the demand for maize leads to an increase in U.S. exports at the expense of other countries that are richer in biodiversity. The increase in U.S. maize ethanol use had important impacts on global agriculture and a more rapid electrification of the U.S. vehicle fleet can have valuable impacts on biomass and soil carbon as shown in previous research but also on biodiversity as shown in this analysis. The analysis adds the component of biodiversity to the discussion around electrification in the United States.
    Keywords: Livestock Production/Industries, International Relations/Trade
    Date: 2023
    URL: http://d.repec.org/n?u=RePEc:ags:iaae23:338547&r=tre
  7. By: Kurani, Kenneth S; Miller, Marshall; Sugihara, Claire; Stepnitz, Eli-Alston; Nesbitt, Kevin A
    Abstract: This study solicited information directly from decision-makers in private businesses operating fleets of medium- and heavy-duty trucks in California via interviews and pre-interview questionnaires. Additional interviews were conducted with truck manufacturers, consultants and other businesses providing services to the freight industry including leasing and auction. All these data were collected in 2021 and 2022. Fleet decision-makers describe what determines when and why they acquire and retire trucks and how they use those determinants. The purpose is to better understand vehicle turnover in the trucking sector. Direct contact with fleet decision-makers was preceded by a review of relevant literatures. This review helped in the design of joint questionnaires and interview protocols. Results are presented as 1) a set of determinants (internal to each fleet, external, and linking internal to external), 2) a typology based on decision-making structure, adaptation, and complexity, 3) case studies of decision-making types, 4) generalizations across fleets, and 5) extension to fleet consideration of alternative fuel trucks. One overarching conclusion is drawn: fleet truck turnover behavior varies widely—our highest-level abstraction—the typology—results in more than 20 types among 90 fleets allowing that some types involve mixed types of structure, adaptation, and/or complexity. Few fleets’ decision-making conforms to the commonly assumed model of total cost of ownership; many more do not. This report describes the varied ways fleets acquire and retire trucks, extends this to understand how this variety is already affecting freight fleets’ consideration of alternative fuel trucks, and poses questions as to how understanding this variety aids in promotion of zero-emission trucks.
    Keywords: Engineering, Social and Behavioral Sciences
    Date: 2023–09–01
    URL: http://d.repec.org/n?u=RePEc:cdl:itsdav:qt20n8n4mb&r=tre
  8. By: Becka Brolinson (Federal Housing Finance Agency)
    Abstract: In this paper, I quantify the value of access to public transit in New York using the surprise, hurricane-related announcement of the temporary shutdown of an important piece of transportation infrastructure: the L-train connecting Brooklyn and Manhattan. My approach allows me to measure changes in housing sales prices by using a change in public transit infrastructure that is (a) temporary, and (b) not an outcome of city transit planning, but rather an unexpected consequence of a natural disaster. I find that the L-train’s shutdown announcement caused a temporary decrease in sales prices for affected housing units of 6.4 percent. This estimate suggests a monthly capitalization rate of public transit access of around $863 for housing units where the L-train is the nearest subway stop, demonstrating that households in New York City ascribe a high value to transit access. Using these estimates, the benefits of the repair outweigh the costs, with the benefit-to-cost ratio of the repairs ranging from 2.76 to 2.78.
    Keywords: transportation, house prices, natural disaster risk
    JEL: Q54 R31 R38 R4
    Date: 2023–10
    URL: http://d.repec.org/n?u=RePEc:hfa:wpaper:23-06&r=tre
  9. By: Nam, Nguyen Hoang
    Abstract: After more than 350 years since the first steam-powered vehicle was invented in 1672, much has been changed in the automotive industry towards sustainable and environmentally friendly products. Nowadays, the development of a circular economy (CE) in the automotive industry has attracted the attention of many countries. The main objective of study is to understand how to approach sustainable products in the automotive industry and adapt to social needs. Through analysis and synthesis methods, the study analyzed international car manufacturers’ experience in developing sustainable products. The results indicate that there is a trend of switching to electric vehicles in the policies of international car manufacturers, while car manufacturers also set policies and regulations in accessing sustainable products for the development of CE.
    Date: 2023–09–17
    URL: http://d.repec.org/n?u=RePEc:osf:osfxxx:ybqrj&r=tre
  10. By: Burks, Stephen V. (University of Minnesota, Morris); Kildegaard, Arne (University of Minnesota, Morris); Miller, Jason W. (Michigan State University); Monaco, Kristen (Federal Maritime Commission)
    Abstract: The U.S. trucking industry has been calling out a shortage of truck drivers for nearly forty years, since soon after its economic deregulation in 1980. Burks and Monaco (2019) provided evidence that the overall truck driver labor market works about as well as any blue collar labor market, and suggested persistently high driver turnover uniquely at long‐distance truckload firms (central to long distance freight but employing only 20% of tractor‐trailer truckers) drives the shortage perception. The American Trucking Associations (ATA) agreed with the location of the problem, but argued that a driver shortage and high turnover are distinct, and that a long‐term shortage does exist. We review the evidence for a shortage and find it unconvincing. We also review empirical evidence that long‐distance truckload has had persistently high‐turnover since the mid‐1980s. To explain this, we provide a simple model of long‐distance truckload cost minimization in which there is a tradeoff between the costs of turnover and two other costs, higher pay to offset bad working conditions (compensating differentials), and running trucks out‐of‐ route to get drivers home regularly (inefficient capital use). We show that high turnover is likely structural because it is part of the least‐cost mixture. We then use our model to analyze the potential impacts of two technological changes (truck simulators and partially automated trucks), and a key policy championed by the ATA to "fix the shortage, " interstate teenaged truckers. We show that these are likely to have results opposite to those the industry and policy makers expect.
    Keywords: costs, less‐than-truckload, truckload, driver shortage, driver turnover, long‐distance motor carrier, teenaged truck drivers, partially automated trucks, truck transportation
    JEL: L1 J42 L9
    Date: 2023–09
    URL: http://d.repec.org/n?u=RePEc:iza:izadps:dp16477&r=tre
  11. By: ITF
    Abstract: Over half of Korea’s population lives in the Seoul Metropolitan Area. This report looks at how the region’s transport system and land uses serve different socio-economic groups and offers insights for reducing inequalities in access. Are services and opportunities equally accessible to all residents of the Seoul Metropolitan Area? Which factors influence accessibility gaps? How can transport planning and decision making take into account accessibility and equity considerations?tr
    Date: 2023–08–02
    URL: http://d.repec.org/n?u=RePEc:oec:itfaac:117-en&r=tre
  12. By: ITF
    Abstract: The aviation sector has pledged to become climate neutral by 2050. Sustainable Aviation Fuels (SAFs) are the only available low-carbon fuel technology for air travel today. They are thus indispensable for the sector to reach its climate targets. This report presents recommendations to promote the production and deployment of SAFs, which can replace conventional fossil aviation fuel to reduce carbon dioxide emissions from aircraft. The insights come from discussions in the ITF’s Decarbonising Aviation Common Interest Group, an expert forum on SAF policies bringing together government and industry representatives.
    Date: 2023–07–19
    URL: http://d.repec.org/n?u=RePEc:oec:itfaac:116-en&r=tre

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