Research by Klein, Basu & Smart – In the driver’s seat: Pathways to automobile ownership for lower-income households in the United States

February 28, 2023

Abstract

We examine how lower-income households in the United States acquire automobiles. Although car ownership plays a vital role in social and economic mobility in the US, transportation scholars know little about how low-income households obtain cars. Better understanding the pathways to car ownership can help policymakers and non-government actors design interventions to assist low-income households in acquiring and maintaining cars. Our research contributes to basic social science by illuminating the financial and quality of life effects of obtaining cars through various means. We use an online opt-in survey of adults from lower-income households to examine how and why they acquire cars and the effects of these different pathways to car ownership on finances and quality of life.

We identify-five pathways to car ownership. The most common pathway is to acquire a used car from a dealer (38% of our sample), followed by buying a used car informally (24%), purchasing a new car (17%), receiving a car as a gift (15%), and via a move-in with someone who has a car (5%). Respondents most often acquired a car for financial reasons and to increase accessibility. In contrast, the COVID-19 pandemic, life events, and built environment factors played a smaller role.

Respondents reported that acquiring a car had a positive effect on their lives. Almost 90% of respondents said that acquiring the car was worth it, despite nearly half of the survey respondents experiencing financial hardship related to car ownership, operation, and maintenance.

Citation

Nicholas J. Klein, Rounaq Basu, Michael J. Smart, In the driver’s seat: Pathways to automobile ownership for lower-income households in the United States, Transportation Research Interdisciplinary Perspectives, Volume 18, 2023, 100787, ISSN 2590-1982, https://doi.org/10.1016/j.trip.2023.100787.

Nicholas J Klein ’14 is a PhD alum of the Bloustein School

Michael J. Smart is an Associate Professor and Director, PhD Program at the Bloustein School

Recent Posts

NJSPL: New Jersey Policy Priorities Survey Results

By Angie Nga Le Between October 7 and November 14, 2024, the New Jersey State Policy Lab conducted a brief survey to gain insights into emerging issues and policy priorities in New Jersey. The survey aimed to inform the Policy Lab’s strategic research planning,...

Dr. Grafova Examines Financial Hardships for Cancer Survivors

Household income and county income inequality are associated with financial hardship among cancer survivors in New Jersey Abstract Purpose To examine how household income and county income inequality are linked to financial hardship among cancer survivors. Methods...

Exploring Postsecondary Outcomes of Dual-Enrollment

Heldrich Report: Exploring Postsecondary Outcomes of Dual-Enrollment Participation in New Jersey A new study from the New Jersey Statewide Data System (NJSDS) explores the educational pathways of New Jersey high school graduates from 2014 and 2015 who participated in...

“Rutgers Then and Now:” A Discussion with the Authors

“Rutgers Then and Now”: A Discussion with Authors James W. Hughes and David Listokin As 2024 comes to a close and EJB Talks concludes another season, Stuart Shapiro discusses the new book by University Professor and Bloustein School Dean Emeritus James W. Hughes and...

NJSPL Report: Transportation Priorities for Camden County

By Carla Villacis, Kristin Curtis, Shaghayegh Poursabbagh, Oğuz Kaan Özalp, and Fawaz Al-Juaid Read Report The Senator Walter Rand Institute for Public Affairs at Rutgers-Camden (WRI) exists to conduct community-focused research that connects to the public policy and...

Upcoming Events

2025 Bloustein Alumni Awards Celebration

Zimmerli Art Museum at Rutgers University 71 Hamilton Street, New Brunswick, NJ, United States

Since 1994, the Bloustein School Alumni Association has aimed to present awards to accomplished alumni each year. Our goal is to pay tribute to alumni and friends to recognize their […]

RAISE 2025 – Our Future With AI: Utopian or Dystopian?

Gov. James J. Florio Special Events Forum, CSB 33 Livingston Avenue, New Brunswick, NJ, United States

Informatics - Data Science - AI Competition Step into the future of innovation! RAISE-25 will challenge you to unravel the scope of AI's impact on our lives and human society. […]