WHAT'S FAIR ABOUT LOW FARE? AN ECONOMIC ANALYSIS OF A POLITICAL DECISION

MARTA's political choice of a low bus fare to gain a local funding-base for mass transit also turned out to be shrewd public economics. This case study attempts to demonstrate this point through an analysis of costs and benefits for riders and nonriders from 1972 through 1977. The analysis will follow a brief description of the evolution of the financial arrangements and some observations on the immediate effects of low fare on ridership patterns. This analysis will estimate the "fairness" of the sales tax/low fare method of financing public transportation by comparison with two alternatives. A Technical Appendix: "Stratification of Ridership Volume and Estimation of Number of Transit-User Families by Income Group" included in the report, shows how some of the parameters are derived which are used in this study. (UMTA)

  • Corporate Authors:

    University of Georgia, Athens

    College of Business Administration
    Athens, GA  United States  30602

    Urban Mass Transportation Administration

    400 7th Street, SW
    Washington, DC  United States  20590
  • Authors:
    • Bates, J W
  • Publication Date: 1979-7

Media Info

  • Pagination: 22 p.

Subject/Index Terms

Filing Info

  • Accession Number: 00331224
  • Record Type: Publication
  • Source Agency: Urban Mass Transportation Administration
  • Report/Paper Numbers: UMTA-GA11-0006-81-16
  • Contract Numbers: GA-11-0006
  • Files: NTIS, TRIS, USDOT
  • Created Date: Aug 15 1982 12:00AM