The Impact of Age and Health on Vehicle Choices among Elders

We examine older Americans choice of vehicle types and the impact of age and health status on this choice. Using the 1998 and 2000 Health and Retirement Study (HRS) and the 2001 HRS Consumption and Activities Mail Survey (CAMS), we estimate a multinomial logit model of older Americans choice of vehicle types. We find that both age and health status influence the type of vehicle purchased or leased. Compared to Americans aged 50 59, those aged 70 or older prefer passenger cars to trucks and sport utility vehicles (SUVs). We also find that elders with health problems are more likely to prefer SUVs to passenger cars than those without health problems.