University of California Institute of Transportation Studies

Free or reduced-fare transit passes have the potential to increase transit ridership, enhance the mobility of underserved groups (e.g., low-income, seniors, and youth), and reduce the environmental footprint of transportation. Under the right conditions, these programs can also help reduce traffic congestion and motor vehicle use. Transit agencies in different parts of the world have been experimenting with free or reduced-fare transit for decades, yet there are still substantial concerns about the impacts of free or reduced-fare transit on ridership as well as on the fiscal health of transit agencies. Some of these concerns linger partly because rigorous academic studies on free and reduced-fare transit passes are still rare.