The Benefits of Public Transit to Households: Evidence from India

Palak Suri and Maureen Cropper

No 34613, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: We measure benefits to households from Mumbai’s new Metro rail system. We estimate a commute mode choice model to value commute time savings in the short run and a housing choice model to value the improved commuting utility that households experience due to spatial sorting. Aggregate benefits from Metro rail are over 10 times higher when spatial sorting occurs. In the short run women, college-educated workers, and workers with above median incomes experience higher benefits than their opposites. In the long run, households with lower incomes and assets and less than college education benefit more than their wealthier counterparts.

JEL-codes: O18 R1 R2 R4 (search for similar items in EconPapers)
Date: 2025-12
New Economics Papers: this item is included in nep-tre and nep-upt
Note: EEE
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