Investigating the Effect of Gasoline Price and Income on Road Traffic Fatalities in Iran (NARDL Approach)

Document Type : Original Article

Author
Assistant Professor, Department of Economics, Islamic Azad University, Zanjan Branch, Zanjan, Iran.
Abstract
The main purpose of this research is to investigate the effect of gasoline price and per capita income on road traffic fatalities in Iran. . The statistical data used in this research are from the Central Bank of the Islamic Republic of Iran and the World Bank during the period of 1374-1401 and the estimation of the proposed model is with EViews 10 software. Two autoregressive approaches with linear ARDL and non-linear NARDL explanatory lags are considered in the estimation. The asymmetric effect, or in other words, the positive and negative changes in gasoline prices, on the number of confirmed road fatalities, and the coefficient of the error correction sentence is -0.370. A positive (increasing) change in the price of gasoline has a decreasing effect on road traffic losses, and a negative (decreasing) change in the price of gasoline has an increasing effect on road traffic losses. With a one percent increase in this variable, road traffic fatalities will decrease from 21.5 to 21.497 per hundred thousand people. With a one percent decrease in this variable, road traffic casualties will increase from 21.5 to 21.504 per hundred thousand people. Also, the impact of positive per capita income and its one percent increase increases fatalities from 21.5 to 21.504 per hundred thousand people.
Keywords

-ابراهیمی، مریم، هژبر کیانی، کامبیز، معمار نژاد، عباس، و غفاری، فرهاد (1397). بررسی اثرات نامتقارن نوسانات نرخ ارز بر تراز تجاری ایران و چین با رویکرد ARDL غیرخطی. فصلنامه اقتصاد مالی، 12(44)، 39-21.
-زورکی، شهریار، یوسفی بارفروشی، آرمان، و فتح‌اله‌زاده، امیرحسین (1397). تحلیل نامتقارن تکانه‌های قیمت نفت و درآمد نفت در نرخ بیکاری ایران کاربردی از الگوی NARDL. فصلنامه علمی پژوهشی مطالعات اقتصادی کاربردی ایران، 7(27)، 49-23.
-توکلی کاشانی، علی، سرتیپی، زهرا، و افشارپور، مهلا (1398). مدل اثرات توأم دو متغیر کلان اقتصادی تولید ناخالص داخلی و قیمت بنزین بر تلفات حوادث ترافیکی با استفاده از داده‌های پانل. پژوهشنامه حمل‌ونقل، 58، 42-29.
-توکلی کاشانی، علی، و سرتیپی، زهرا (1398). قیمت سوخت، مصرف سوخت و تلفات حوادث ترافیکی، هفدهمین کنفرانس بین‌المللی مهندسی حمل‌ونقل و ترافیک.
-نوفرستی، محمد (1391). ریشه واحد و همجمعی در اقتصادسنجی. موسسه خدمات فرهنگی رسا.
-Akinyemi, Y., (2020). Relationship between economic development and road traffic crashes and casualties: empirical evidence from Nigeria. Transportation Research Procedia, (48), 218-232.
-Beeman, r., & Schneider, J., (2012). How will gas prices impact our economy? BAIRD, Wise Investor Group, thewiseinvestorgroup.com/Wise-InvestorFiles/Public/PDF_Files/Market-Insight/Gas-Price.
-Chi, G., Porter, J., Cosby, A., & Levinson, D., (2013). The impact of gasoline price changes on traffic safety: a time geography explanation. Journal of Transport Geography, 28, 1–11.
-Ebrahimi. M., Hojbar Kiani, C., Memar Nejad, -A., & Ghaffari, F., (2017). Investigating the asymmetric effects of exchange rate fluctuations on the trade balance of Iran and China with the non-linear ARDL approach. Financial Economics Quarterly, 12(44), 21-39.
-Elvik, R., (2014). An analysis of the relationship between economic performance and the development of road safety. Institute of Transport Economics, 43–142.
-Folger, J. (2019). How gas prices affect the economy, Investopedia.
www.investopedia.com/financial-edge/0511/how-gas-prices-affect-the. econ
-Mattson, J., (2008). The effects of gasoline prices on bus ridership for different types of transit system. Transp. Res. Forum.
-Morris, A.C., & Neill, H. (2014). Do Gasoline Prices Affect Residential Property Values? Brookings.
-Nofarsti, Mohammad (1391). Unit root and cointegration in econometrics. Rasa Cultural Services Institute (in persian).
-Pesaran, M. H., Shin, Y., & Smith, R.J., (2001). Bounds Testing Approaches to the Analysis of Level Relationships. Journal of Applied Econometrics, 16(3): 289-326.
-Safaei, N., Zhoub, C., Safaei, B., & Masoudd, A., (2021). Gasoline prices and their relationship to the number of fatal crashes on U.S. roads. Transportation Engineering 4, Journal homepage: www.elsevier.com/locate/treng.
-Shin, Y., Yu, B., & Greenwood-Nimmo, M., (2014). Modelling asymmetric cointegration and dynamic multipliers in a nonlinear ARDL framework. Springer New York, 281-314.
-Tavakkoli Kashani, A., Sartipi, Z., & Afsharpour, M., (2018). The combined effects model of two macroeconomic variables, GDP and gasoline price, on traffic accident casualties using panel data. Research Journal of Transportation, 58, 42-29. (in persian).
-Tavakkoli Kashani, A., & Sartipi, Z., (2018). Fuel price, fuel consumption and traffic accident casualties. 17th International Conference on Transportation and Traffic Engineering.(in persian).
-Thompson, C., (2017). Rising gas prices are a growing threat to the American way of life, Business Insider, Business Insider, www.businessinsider.com/how-rising-gas-prices-impact-economy-2017-3
-Wilson, F.A., Stimpson, J.P., & Hilsenrath, P.E., (2009). Gasoline prices and their relationship to rising motorcycle fatalities, 1990–2007, Am. J. Public Health 99 (10), 1753–1758.
-Zorki, Sh., Yousefi Barforushi, A., & Fathollahzadeh, A., (2017). Asymmetric analysis of oil price impulses and oil income in Iran's unemployment rate applied by NARDL model. Quarterly Scientific Journal of Applied Economic Studies of Iran. 7(27), 23-49. (in persian).