How much do users value a network expansion? Evidence from the public transit system in Singapore

B-Tier
Journal: Regional Science and Urban Economics
Year: 2018
Volume: 71
Issue: C
Pages: 46-61

Score contribution per author:

1.005 = (α=2.01 / 2 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

We estimate the network effects of a public transit system by examining the impact of its expansion on housing prices. Our results show that a major expansion of Singapore's Mass Rapid Transit (MRT) system increased the price of apartments within 0.5 km of a pre-expansion station by 1.8% relative to apartments that were further away from a station. Evaluated at the mean housing price, the expansion increased the value of pre-connected apartments by at least S$455 million in aggregate, which is equivalent to 9% of the estimated S$5 billion cost of the expansion.

Technical Details

RePEc Handle
repec:eee:regeco:v:71:y:2018:i:c:p:46-61
Journal Field
Urban
Author Count
2
Added to Database
2026-01-25