THE FUNCTIONAL FORM AND ENERGY STABILITY OF TRAVEL EXPENDITURES IN NIGERIA
THE FUNCTIONAL FORM AND ENERGY STABILITY OF TRAVEL EXPENDITURES IN NIGERIA
No Thumbnail Available
Date
1998-04
Authors
OSULA, DOUGLAS ODEMWINGIE AIYEVBEKPEN
Journal Title
Journal ISSN
Volume Title
Publisher
Abstract
The characteristics of (ravel money expenditure in a Nigerian setting are
examined, with special emphasis on the its functional form and energy stability, using the
"before" and "after" the October 1994 fuel price increase situations.
Preliminary analysis of travel charatcristics show general reduction in trip rates,
with the least average reduction of 7.08% in subsistence trips and the highest of 46.54%
in leisure trips. Appreciable changes occurred in mode choice, with an average value of
40.30 % change being made from motorised modes to the walk mode. The highest
average mode change stood at 52.90%; for leisure trips, while values for maintenance and
subsistence trips stood at 36.80% and 36.20%, respectively.
The results of the main study show that while the established inverse relationship
between travel expenditure and income did not change, significant increases occurred in
travel expenditure across socio-economic strata, averaging at 114.18%. Shifts occurred
in transport market segmentation, apparently because significant interactions occurred
between travel expenditures and socio-economic characteristics. The results so far
indicate that changes in life-style of respondents occurred, following the fuel price
increase.
Elasticity calculations show that, generally, trip rates and travel money
expenditures are fuel price inelastic. Specifically, -0.185, -0.060, -0.094, and -0.458,
were recorded as average values for all trips, subsistence trips, maintenance trips, and
leisure trips, respectively. It stood at 0.625 for travel money expenditure. Thus in real
terms, the energy policy change cannot be said to have adversely affected travel
behaviours of respondents, at least in the short-term.
The functional form estimation aspect of the study yielded statistically significant
simple linear relationships between travel money expenditure and money available for
vi
Description
Keywords
THE FUNCTIONAL FORM AND ENERGY STABILITY OF TRAVEL, EXPENDITURES IN NIGERIA