{"title":"Do subways improve labor market outcomes for low-skilled workers?","authors":"Jindong Pang, Shulin Shen","doi":"10.1007/s00148-024-00995-z","DOIUrl":null,"url":null,"abstract":"<p>This paper evaluates the labor market effects of subway systems on low-skilled workers. A simple model of labor supply predicts that access to subway services can decrease transportation costs and improve labor force participation, but has ambiguous effects on the intensive margin of labor market outcomes. Empirical estimates from US cities show that a 10% expansion in subway miles increases the labor force participation of low-skilled individuals without a car by eight percentage points. However, subway expansions have no significant effect on the labor force participation of low-skilled individuals who own automobiles or on high-skilled workers. In contrast, expansions of light rails and buses have no significant effect on the labor market outcomes of low-skilled individuals. Improved subway services do not affect wages, hours worked, and commuting times, suggesting that the labor market benefits of subways mainly lie in the extensive margin of labor supply.</p>","PeriodicalId":48013,"journal":{"name":"Journal of Population Economics","volume":"1 1","pages":""},"PeriodicalIF":6.1000,"publicationDate":"2024-01-26","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":"0","resultStr":null,"platform":"Semanticscholar","paperid":null,"PeriodicalName":"Journal of Population Economics","FirstCategoryId":"96","ListUrlMain":"https://doi.org/10.1007/s00148-024-00995-z","RegionNum":2,"RegionCategory":"经济学","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":null,"EPubDate":"","PubModel":"","JCR":"","JCRName":"","Score":null,"Total":0}
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Abstract
This paper evaluates the labor market effects of subway systems on low-skilled workers. A simple model of labor supply predicts that access to subway services can decrease transportation costs and improve labor force participation, but has ambiguous effects on the intensive margin of labor market outcomes. Empirical estimates from US cities show that a 10% expansion in subway miles increases the labor force participation of low-skilled individuals without a car by eight percentage points. However, subway expansions have no significant effect on the labor force participation of low-skilled individuals who own automobiles or on high-skilled workers. In contrast, expansions of light rails and buses have no significant effect on the labor market outcomes of low-skilled individuals. Improved subway services do not affect wages, hours worked, and commuting times, suggesting that the labor market benefits of subways mainly lie in the extensive margin of labor supply.
期刊介绍：
The Journal of Population Economics is an international quarterly that publishes original theoretical and applied research in all areas of population economics.
Micro-level topics examine individual, household or family behavior, including household formation, marriage, divorce, fertility choices, education, labor supply, migration, health, risky behavior and aging. Macro-level investigations may address such issues as economic growth with exogenous or endogenous population evolution, population policy, savings and pensions, social security, housing, and health care.
The journal also features research into economic approaches to human biology, the relationship between population dynamics and public choice, and the impact of population on the distribution of income and wealth. Lastly, readers will find papers dealing with policy issues and development problems that are relevant to population issues.The journal is published in collaboration with POP at UNU-MERIT, the Global Labor Organization (GLO) and the European Society for Population Economics (ESPE).Officially cited as: J Popul Econ Factor (RePEc): 13.576 (July 2018) Rank 69 of 2102 journals listed in RePEc
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