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Abstract
This paper adds to the existing literature on gentrification by exploring the impact of newly developed light rail transportation systems on neighborhoods surrounding the rail stations. Transportation costs place a disproportionate burden on people with low incomes, so expanding access to public transportation should help relieve some of that burden. On the other hand, some of the literature on gentrification suggests that new infrastructure that is attractive to the public, such as a public transportation system, could encourage the inward migration of middle-income people. This study explores that phenomenon by using difference-in-differences and binary logit models. Findings show that the new LYNX Blue Line light rail in Charlotte, North Carolina may have had an effect on the racial makeup of neighborhoods along the rail line which indicates population changes related to the rail line. This study did see positive economic changes when looking at average median household incomes and poverty rates; however, how the light rail impacted existing residents along the line is unknown due to the population changes. This study is an example of how public policy can lead to unintended consequences.