Recent spikes in gas prices expose a fragile system that financially strains car-dependent households. When prices rise, however, people adapt in surprising ways, especially when they have reliable options. Transportation leaders can seize this moment to take steps toward reducing car dependency and building systems that are resilient by providing more affordable travel choices before the next disruption occurs or if the current trends continue.
Economic Impact
Transportation disrupted: People adapt to rising prices
Most traffic models and transportation plans assume people’s travel behavior is largely predictable and unchanging. Usually, this means more and more driving year after year, and investments aimed at meeting that rising demand. But the most recent spike in gas prices shows just how quickly people adapt their behavior to even small price cues.
Transportation disrupted: Rising prices expose a vulnerable system
When gas prices spike, millions of Americans have little choice but to pay the bill. That is not just a cost problem. It is a sign that the U.S. transportation system rests on a fragile foundation shaped by land use and infrastructure that require a car for most everyday trips. At the same time, the transition to electric vehicles remains slow and uneven.
Transit agencies are averting the fiscal cliff, but still need long-term funding solutions
Last month, SSTI staff joined the mayors of Milwaukee and two nearby communities for a meeting aimed at preventing a pending crisis for the local transit agency. Like many transit systems across the country, Milwaukee’s has exhausted its remaining federal COVID relief funds and was facing a 15% service cut and a 50% fare increase. Thanks to strong advocacy, the county has since proposed budget changes that would add $4.8 million to preserve service.
Repairing highways is better for the economy than expanding them
The U.S. faces a $1 trillion backlog of roads and bridges needing repair, according to FHWA. Yet we still spend roughly $27 billion per year (25% of the total) expanding and building new highways. Mounting evidence shows that shifting those dollars toward maintenance and rehabilitation could yield greater benefits.
Advocates tout financial benefits of green transportation policies
A new network of advocates across seven states is highlighting how transportation policies that are good for the environment offer many other benefits too. The Clean RIDES Network, launched last week, is using recent policy successes in places like Colorado as models that other states can take inspiration from. SSTI is among those advising the group, hoping to steer advocacy toward innovative, achievable policies drawing on years of experience.
Independent businesses struggle to survive highway improvement projects
While past research has explored the impacts that new, large-scale highway construction projects have on local businesses, a recent study investigated the effects of smaller improvement projects, such as repaving and bridge replacements, and who tends to benefit from such improvements. The study found these types of projects are more common in higher-income neighborhoods, but that local, non-chain businesses were most likely to be negatively impacted by ongoing construction and altered traffic patterns compared to nearby multi-location, chain businesses.
New federal vehicle charging requirements aren’t a one-size-fits-all solution for many states
As the federal government significantly invests in vehicle charging infrastructure, states voice their concerns on effectively implementing a consistent and reliable nationwide network while addressing their local needs. Many states are committed to supporting the transition to electric vehicles, but some are looking for more flexibility with funding requirements to coincide with their existing capacity for an effective system.
Streamlined grant procedures can make competitive funding fairer
The Infrastructure Investment and Jobs Act is a more than $850 billion historic investment in support of state and local government work to increase access and safety while redressing inequities across the country. However, a recent article by Brookings contributors Ellory Monks and Shalini Vajjhala points out that the existing structure of federal and state grant application processes may inhibit the fair allocation of the funds.
Light rail and complementary development have broad effects on travel behavior
The goal of investing substantially in public transportation infrastructure and complementary transit oriented development (TOD) is to create positive outcomes for communities, including reducing carbon emissions, increasing access to jobs, and reducing reliance on personal vehicles. Two new studies highlight additional impacts of these investments; transit infrastructure leading to increased levels of physical activity and TOD residents forgoing driving for non-commute trips.