The Relationship Between VMT and Economic Activity

This study will provide an econometric analysis of the relationship between VMT and economic activity, while controlling for metropolitan specific factors that might influence economic health. The objective is to help answer the question of whether there is reason to be concerned regarding the impact that VMT reduction associated with transportation management policies might have on local economic activity. The results should help resolve current policy debate regarding the relationship between VMT and economic activity on a local or regional level and assist policymakers in selecting the combination of policies that will help meet the GHG goals while having the…

This study will provide an econometric analysis of the relationship between VMT and economic activity, while controlling for metropolitan specific factors that might influence economic health.  The objective is to help answer the question of whether there is reason to be concerned regarding the impact that VMT reduction associated with transportation management policies might have on local economic activity. 

The results should help resolve current policy debate regarding the relationship between VMT and economic activity on a local or regional level and assist policymakers in selecting the combination of policies that will help meet the GHG goals while having the least negative impact on economic activity

The study will use a cross-section data set of U.S. metropolitan areas for which data are available.
To our knowledge, this will be the first such study to examine these on a regional basis rather than based on the household level or using national aggregates (see background below). Thus, the study has a broad cope as the results should be useful to useful to practitioners not only in Oregon, but to metropolitan and regional transportation planners nationally.