1 Marketing and Supply Chain Management, North Carolina Agricultural and Technical State University, North Carolina, United States
In this paper, the relationship between average commute time and average wage in a population center is investigated. The goal of this research is to determine whether there is a positive relationship between average commute time and wages as economic theory would suggest. While this theory has been investigated to some extent in the past, the results of such studies have been limited to one or a few large metropolitan areas. The results of this study show that there is a positive relationship between the two. These results imply that businesses undergoing network design or redesign decisions should consider commute time in prospective metropolitan areas as part of their location decisions and could save money by choosing an area with shorter commute time.
Keywords: Transportation, Regression, Economics, Income, Commute time, Variation.
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