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Estimating the effects of income inequality, information communication technology, and transport infrastructure on transport-oriented household expenditures

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Abstract

This study investigates the influence of transport infrastructure, income inequality, information and communication technology on transport-oriented household expenditures. For this purpose, we chose the data set period from 1997 to 2021 for the 24 OECD countries and employed the cross-sectional auto-regressive distributed lagged (CS-ARDL) approach. Therefore, the outcomes reveal that income inequality drastically upsurges transport-oriented household expenditures, especially the pre-tax income share of the 100th percentile concentration of the super-rich. Besides, there is a convex relationship between income inequality and household expenditures. The magnitudes of information and communication technology (ICT) are negative and significant, implying that ICT reduces transport-related household expenditures by allowing them to access real-time information and choose their destination as well as travel modes from the comfort of their own homes. Also, the combined effect of income inequality and ICT reduces transport-related household expenditures in the sample countries. Thus, the findings recommend some policy implications and direct future research directions based on empirical evidence.

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Authors and Affiliations

  1. Business School, Faculty of Economics, Liaoning University, No.58 Daoyi South Street, Shenyang, 110136, People’s Republic of China

    Zahid Hussain & Chunhui Huo

  2. Department of Economics, University of Sargodha, Sargodha, Pakistan

    Jabbar Ul-Haq

  3. School of International Education, University of International Business and Economics, Beijing, 100029, People’s Republic of China

    Hubert Visas

  4. Middle East University, Amman, Jordan

    Hubert Visas

  5. Department of Economics, University of Karachi, Karchi, 75270, Pakistan

    Muhammad Umair

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  1. Zahid Hussain
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  2. Chunhui Huo
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Contributions

Zahid Hussain developed conceptual model and critically analyzed based on empirical findings. Chunhui Huto, Jabbar Ul-haq, Huber visas and Muhammad Umair conduct the econometric techniques and analysis the findings. Also, they prepared the whole draft including suggestions.

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Correspondence to Zahid Hussain.

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Hussain, Z., Huo, C., Ul-Haq, J. et al. Estimating the effects of income inequality, information communication technology, and transport infrastructure on transport-oriented household expenditures. Transportation (2024). https://doi.org/10.1007/s11116-024-10486-5

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