The gasoline price and the commuting behavior of US commuters: Exploring changes to green travel mode choices

This paper explores how gasoline prices and the commuting behavior of US commuters are related, with a focus on the use of private motor vehicles, public transit, walking, and cycling. Basic economic theory suggests that as gasoline prices rise, there tends to be a decrease in the consumption of gasoline due to the substitution and income effect, leading to a reduced use of private motor vehicles by commuters who may opt for relatively cheaper modes of transportation for their daily commutes. Using data from the American Time Use Survey spanning from 2003 to 2019, coupled with state- and year-specific gasoline prices, the study reveals a positive relationship between gasoline prices and daily commuting time. Furthermore, gasoline prices are also associated with the choice of commuting modes. Higher gasoline prices are negatively related to the proportion of commuting time using private motor vehicles and positively related to the proportion of commuting time using public transit, walking, and cycling. Heterogeneity analysis reveals that the association between gasoline prices and the proportion of commuting time using public transit and walking varies depending on the rural status of commuters. The results of this paper can be used to formulate pricing policies in order to change the daily travel choices of commuters, mitigate greenhouse gas emissions, and develop a less fuel-dependent transport sector in the US.