Transitions into and out of Car Ownership among Low-Income Households in the United States

Abstract

We examine transitions into and out of car ownership among low-income households. We use a novel online survey of U.S. residents to investigate why households lose access to a car, how long they are without a car, why they regain a car, and how these transitions affect their quality of life. We find that car ownership transitions are primarily motivated by economic security and insecurity. The median length of a car-less episode is 1.7 years, while black and Hispanic respondents experienced longer car-less episodes. Despite their precarious grasp on car ownership, respondents felt that owning a car was worth it.