THE INFLUENCE OF INCOME ON HOUSEHOLD CAR AND MOTORCYCLE OWNERSHIPS IN DENPASAR CITY, BALI
Abstract: This
study investigates the
influence of household
income on both car
and motorcycle ownerships
in the city
of Denpasar using
a Multinomial Logit Model. The
household income is about 61%, 17% and 61% more likely to influence a
household owning 1
motorcycle and 1
car, 2 or more motorcycles and 0 car, and 2 or more
motorcycles and 1 car respectively than 1 motorcycle and no
car. The probability
of both car
and motorcycle ownerships
increases substantially by more
than 4% in
the next 20
years if household
income in Denpasar city
rises. This is
particulary applied for
the household owning
1 motorcycle and 1 car and 2 or more motorcycles and 1 car. The
probability of a household owning 1
motorcycle and no
car ownership however,
drops significantly by almost
10% in the
next 20 years
if household income
in Denpasar city increases.
Consequently, the household
income significantly influences
both car and motorcycle ownerships in the city of Denpasar. A huge number of
car and motorcycle
uses on the
road continously leads
to serious transport problems in
the city of Denpasar for the next few years. This is related to the negative
impacts of transport in particular road safety and environmental impact. Improving
the existing public
transport and introducing
a high quality public transport
service within and
to/from Denpasar city
is urgently required. The fare of such high quality
public transport service in Denpasar city however, must be
sufficiently low to
compete with the
cost of riding
a motorcycle. In addition,
a significant amount
of fare subsidy
from both local
and central government is
considerably required
Author: D. M. Priyantha
Wedagama
Journal Code: jptsipilgg120005