The California High-Speed Rail (HSR) project aims to transform transportation in the state. To understand the impact of this project as it “rolls out” across the state, we analyzed its economic benefits across each of its plannedphases, complementing official projections from the California High-Speed Rail Authority (CHSRA). Our analysis is based on a spatial economic model of the rail system model previously developed by members of our team. This model captures the direct potential travel benefits of the HSR project, such as quicker and sometimes cheaper transportation, for commuters, business travelers, and leisure travelers. It also captures wider economic benefits such as higher wages and land values stemming from greater concentration of employment in more productive areas.
The California High-Speed Rail (HSR) project stands to significantly change transportation across the state, but questions remain about who will benefit most from this massive infrastructure investment. While previous analyses have focused on the aggregate economic benefits of HSR in California, we provide a more nuanced understanding of these benefits for communities across California using a spatial economic model previously developed by members of our team. This model captures the direct potential travel benefits of the HSR project (such as quicker and sometimes cheaper transportation) for commuters, business travelers, and leisure travelers. It also captures wider economic benefits such as higher wages and land values stemming from greater concentration of employment in more productive areas. We examine how these benefits would be distributed across California regions and socioeconomic and income groups. By understanding the potential disparities in the impact of the HSR project, policymakers can develop complementary policies to promote more balanced economic development across regions in the state.
Automobiles can greatly enhance access to employment and other opportunities. However, many households do not have the resources to purchase a vehicle outright and must rely on automobile loans. This increases the total cost of owning a vehicle, particularly for non-white consumers who may have to pay higher purchase prices and/or higher interest rates due to discriminatory lending practices. The effects of high household debt—of which automobile loans are one component—are magnified in lower income neighborhoods, leaving residents with fewer resources to invest in the local economy. Our team used the University of California Consumer Credit Panel, a dataset from Experian, which tracks every loan and borrower in California, to examine how and why automobile loan debt varies from place to place in the state and its consequences. We specifically tested whether total automobile debt, debt burden (the ratio of automobile debt to income), and automobile loan delinquencies in 2021 disproportionately affected non-white neighborhoods.
