Brillo, Kirara Marie M.; Dilangalen, Meriam R.; Terrenal, Rowena T.; Tonido, Sophia Margareth S 4 0
Analyzing traffic congestion and its effect on consumer price index in the Philippines, 1990 - 2019 6
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Research Paper: (BSBA major in Business Economics) - Pamantasan ng Lungsod ng Maynila, 2021
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ABSTRACT: Traffic congestion is one of the worst problems in the Philippines. As road congestion worsens, firms face difficulties in maintaining the reliability of their production and operation of goods. The impact of congestion becomes significant for policy decisions and public infrastructures as it postulates a negative implication on business (time delays and additional costs.) Various studies have been undertaken on how traffic congestion affects consumer prices, but no measures have been determined. In an attempt to gain new insights into the implications of traffic congestion, this study examines how traffic congestion indicators affect the consumer price in terms of road capacity (national road length), demand for vehicles (net registered vehicles); road traffic accidents, and growth rate of informal settlers families. Using the Philippine data from 1990-2019, it can be assumed that these variables are significant but minimally affect the changes in consumer price.