Variations in household transport expenditure within major Australian cities

Abstract

A comparative analysis of intra‐urban variations in household transport expenditure in 1966–68 is undertaken for the two largest Australian cities, Sydney and Melbourne, and one of the smaller State capitals, Adelaide. Regional variations in transport expenditure are found to be greater the larger the city; however residents of small cities are more dependent upon the car for their motorised travel. In the larger cities car dependence is most evident among low‐to‐middle income groups at a relatively early stage in the life cycle, located in outer suburban areas. Consequently high levels of expenditure on transport typically coincide with relatively high levels of financial commitments to home purchase and/or operation. This has significant ramifications for the household budget, the most notable being deficit‐funding, and reduced outlays on other expenditure items such as recreation and education. The distribution of company vehicles and allowances is shown to be of relatively greater benefit to higher income groups, although is not confined to them. Although somewhat dated, the findings suggest that the social impacts of rising prices for energy will almost certainly be regressive. Note: This paper was presented to the 7th PTRC Summer Annual Meeting held at the University of Warwick in July 1979. The authors gratefully acknowledge the contribution of the Australian Road Research Board in the preparation of the paper. Particular appreciation is expressed to Dr. M. R. Wigan, Mr. K. Sharp and Dr. M. G. Lay for their helpful comments.