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A socioeconomic analysis of ride-hailing emergence and expansion in São Paulo, Brazil
Authors
Renato Schwambach Vieira
Miguel Stevanato Jacob
Ana Waksberg Guerrini
Eduardo Germani
Fernando Barreto
Miguel Luiz Bucalem
Pedro Levy Sayon
June 3, 2019

This paper estimates the socioeconomic impacts of the emergence and expansion of e-hailing services in São Paulo, Brazil. Combining data from a major service provider, individual level data from a representative travel diary survey and a structural traffic network simulation, we evaluate the impact of e-hailing on commuters' travel time and accessibility. We then estimate the effect of these changes on workers' productivity. Finally, using a Spatial Computable General Equilibrium (SCGE) model, we estimate the effect of these productivity shocks on broader economic outcomes. Our main results indicate that 83% of current e-hailing trips derived from trips that were previously made by traditional motorized private modes. We also find that the current e-hailing supply has mostly negligible effects on travel times and congestion; however, some individuals experienced important accessibility gains due to the emergence of this alternative mode. We then simulate e-hailing expansion and development scenarios, including the case of larger vehicle occupancy. Total economic activity expands by 1.089% if average vehicle occupancy reaches 3 passengers per trip and all motorized private trips are substituted by e-hailing.

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