Commuting Subsidies with Two Transport Modes

Journal article

Publication Details

Author(s): Borck R, Wrede M
Journal: Journal of Urban Economics
Publisher: Elsevier
Publication year: 2008
Volume: 63
Pages range: 841–848
ISSN: 0094-1190
Language: English


We study a simple model of commuting subsidies with two transport modes. City residents choose where to live and which mode to use. When all land is owned by city residents, one group gains from subsidies what the other loses. With absentee landownership, city residents as a group gain at the expense of landowners. Subsidies toward different modes have different effects, however. For instance, in one case, rich automobile drivers suffer from transit subsidies, while poor transit users may benefit from subsidies to automobiles. © 2007 Elsevier Inc. All rights reserved.

FAU Authors / FAU Editors

Wrede, Matthias Prof. Dr.
Lehrstuhl für Volkswirtschaftslehre, insbesondere Sozialpolitik

How to cite

Borck, R., & Wrede, M. (2008). Commuting Subsidies with Two Transport Modes. Journal of Urban Economics, 63, 841–848.

Borck, Rainald, and Matthias Wrede. "Commuting Subsidies with Two Transport Modes." Journal of Urban Economics 63 (2008): 841–848.


Last updated on 2018-28-07 at 12:23