Journal article


Political Economy of Commuting Subsidies


Publication Details
Author(s): Borck R, Wrede M
Publisher: Elsevier
Publication year: 2005
Volume: 57
Pages range: 478-499
ISSN: 0094-1190
Language: English

Abstract

We study the political economy of commuting subsidies in a model of a monocentric city with two income classes. Depending on housing demand and transport costs, either the rich or the poor live in the central city and the other group in the suburbs. Commuting subsidies increase the net income of those with long commutes or high transport costs. They also affect land rents and therefore the income of landowners. The paper studies how the locational pattern of the two income classes and the incidence of landownership affects the support for commuting subsidies.



Focus Area of Individual Faculties


How to cite
APA: Borck, R., & Wrede, M. (2005). Political Economy of Commuting Subsidies. Journal of Urban Economics, 57, 478-499. https://dx.doi.org/10.1016/j.jue.2004.12.003

MLA: Borck, Rainald, and Matthias Wrede. "Political Economy of Commuting Subsidies." Journal of Urban Economics 57 (2005): 478-499.

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