Sunday, September 29, 2024

The MicroCAT: Charlottesville's Public Good Provision

Funded by a $1.5 million grant from the Virginia Department of Rail and Public Transportation in 2023, Charlottesville started to provide a new service known as MicroCAT. Essentially, it is a free, on-demand taxi service aimed at increasing the accessibility of public transportation to less-densely populated areas in Albemarle County and residents with disabilities. Residents can book a ride using an app and travel to and from some of the major shopping centers along Route 29 or in the Pantops area. 
The MicroCAT can be categorized as a public good since anyone can access the service for free (non-excludable) and its role as a public transportation option means someone booking a MicroCAT will not significantly impact someone's else ability to order a MicroCAT (non-rival). Charlottesville's decision to provide such a service is also an example of Tiebout's theory of local expenditures in practice. It provides insight into the consumer preferences, especially of low-income residents, for more accessible public transportation. The provision of this public good might have influenced recent movers to settle in Charlottesville despite housing being much cheaper in nearby towns such as Crozet or Waynesboro.



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