Why do some states have less transportation spending?

The number of people who commute by car, train, bus or truck each day in the U.S. has been falling for years, according to a new report from the Federal Reserve Bank of New York.

The Federal Reserve’s Economic Freedom Index, released on Monday, shows that overall car use fell in every state and the District of Columbia, but that transportation spending fell in all of them.

While a decline in transportation spending can be a boon to economies, the Federal Bureau of Investigation (FBI) noted in its report that “high-cost jurisdictions are particularly vulnerable to the effects of lower travel volumes and lower tax revenues.”

The report also notes that the federal government spends a greater share of its budget on public transportation, which also means the cost of owning and maintaining a vehicle is higher.

Transportation spending as a percentage of GDP is higher in states with a high proportion of high-cost drivers.

New York, for example, had the highest share of high cost drivers, while Connecticut had the lowest share.

The report notes that states with the highest percentage of high use car ownership have high levels of pollution.

The top 10 states with high car ownership rates, according the Federal Government’s Economic Policy Research Center, are: California (37.7 percent), New Jersey (35.8 percent), Florida (34.3 percent), Arizona (32.5 percent), Colorado (32 percent), Massachusetts (31.9 percent), California (31 percent), Michigan (30.7%) and Illinois (29.8%). 

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