The Butterfly Effect of Transport Network Connectivity and Welfare Implication

Subway expansion, job accessibility improvements, and home value appreciation in four global cities: Considering both local and network effects

“…In summary, our study contributes to the literature by integrating, within a cross-cities analysis, an urban econometrics approach with a transportation accessibility analysis to bring innovation to the empirical approach commonly adopted within the literature. After a synthesis of existing studies on the topic of transit impacts on real estate values, we found that only two papers incorporate some manner of accessibility measure within their analysis (Jing & Liao, 2017;Zheng et al, 2016); only two papers explored network effects of new transit lines (Fesselmeyer & Lie, 2018;Jing & Liao, 2017); and only one performed a multi-city analysis (Baum-Snow & Kahn, 2000). We contribute to the literature by exploring the potential of a previously underutilized approach within an overstudied research topic.…”

“…The model that estimates the impact of new stations on the formation of consumer amenities uses an accessibility measure and yet, in the next step, when estimating the impact on home values, the paper was delimited to a station dummy strategy. Jing and Liao (2017) used a connectivity index that is essentially a gravity-based accessibility measure employing distances instead of travel times multiplied by a measure of the transit 'quality' in an attempt to offset the absence of travel times. Using an empirical strategy similar to ours, the authors explored the network effect of subway expansions in Singapore.…”

“…Using an empirical strategy similar to ours, the authors explored the network effect of subway expansions in Singapore. However, Jing and Liao (2017) did not consider multi-modal transit trips and theirs is a working paper as yet unpublished within a peer-reviewed journal.…”

“…For a gravity-based indicator, the classic approach is a negative exponential function with a decay parameter 𝜆, one which intuitively reflects that jobs located further away contribute less to the indicator as compared to those which can be reached in a shorter time. As 𝜆 reflects behavior, it can thus exhibit some variation across countries (Jing & Liao, 2017), a fact which poses a challenge for our cross-city analysis, as our cities do not provide comparable trip data for multiple years. In order to obtain an indicator that would allow us to compare results between cities and across time, we modelled the impedance effect by diminishing the weight of each time interval as they become larger.…”

General safety concepts used in transport

“…Mathematical and simulation models of the occurrence of transport congestion in this type of transport conditions have been built for several years. The concept of determined chaos has been used for some time to model and predict traffic accidents in road traffic taking place in dense roadstreet networks [19][20].…”