Eliminating Fares to Expand Opportunities: Experimental Evidence on the Impacts of Free Public Transportation on Economic and Social Disparities

Rebecca Brough, Matthew Freedman and David C. Phillips

American Economic Journal: Economic Policy, 2025, vol. 17, issue 3, 1-34

Abstract: We conduct a randomized controlled trial to study the employment effects of providing free public transportation to individuals with low incomes. A temporary subsidy that reduces the price of transit to zero has no significant effects on individuals' paid hours worked or earnings. Using rich administrative data, we also explore a range of other outcomes. We find suggestive evidence that transit subsidies improve measures of financial and physical health.

JEL-codes: G51 J22 J31 L92 L98 R48 (search for similar items in EconPapers)
Date: 2025
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DOI: 10.1257/pol.20230460

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