Determinants of car ownership among young households in the Netherlands: The role of urbanisation and demographic and economic characteristics

Abstract

In the Netherlands, car ownership among young adults has slowly decreased in recent decades. The main causes of this trend are still unclear. Using a unique dataset in which vehicle registration data were combined with population and income register data for 2012/2013, this paper explores how car ownership among young Dutch households varies with household composition, urbanisation level (of household location), household income, employment status and ethnic background. Logistic regression analysis of this data revealed that urbanisation level and household composition are essential factors influencing car ownership. In addition, we found significant interaction effects between these two factors: the influence of urbanisation level on car ownership was much stronger for young couples than for young families or singles. Our results imply that increasing urbanisation and postponement of parenthood could reduce future car ownership among young adults in general. However, the increasing number of young families moving to more urbanised areas could increase future car ownership in cities.