Impact of Ride-Hailing Services on Transportation Mode Choices: Evidence from Traffic and Transit Ridership
Authors: Lee, Kyunghee; Jin, Qianran (Jenny); Animesh, Animesh; Ramaprasad, Jui
Journal: MIS Quarterly (2022)
<jats:p>The rise of technology-enabled ride-hailing services has affected individuals’ transportation-related decisions. The impact of these ride-hailing services likely varies across traveler segments that differ in their usage of various modes of transportation. In this paper, we develop and leverage a framework that allows us to examine the impact of ride-hailing services on the transportation mode choice for three traveler segments: drivers (who primarily use a personal automobile to travel), riders (who primarily use public transit to travel), and walkers (who primarily use non-motorized modes of transport). We first develop a framework outlining how the behavior of different traveler segments would be impacted by the introduction of ride-hailing services and show how this affects traffic congestion and public transportation ridership. To test the framework, we compiled a rich dataset, combining data on public transportation ridership, traffic congestion, and individual transportation mode choice. Employing a difference-in-differences methodology, we show that the Uber entry in a market enabled those who were walkers and riders prior to the entry of Uber to travel more conven…