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A parameterized consideration set model for airport choice: an application to the San Francisco Bay Area

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  • Basar, Gözen
  • Bhat, Chandra
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    Abstract

    Airport choice is an important air travel-related decision in multiple airport regions. This paper proposes the use of a probabilistic choice set multinomial logit (PCMNL) model for airport choice that generalizes the multinomial logit model used in all earlier airport choice studies. The paper discusses the properties of the PCMNL model, and applies it to examine airport choice of business travelers residing in the San Francisco Bay Area. Substantive policy implications of the results are discussed. Overall, the results indicate that it is important to analyze the choice (consideration) set formation of travelers. Failure to recognize consideration effects of air travelers can lead to biased model parameters, misleading evaluation of the effects of policy action, and a diminished data fit.

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    Bibliographic Info

    Article provided by Elsevier in its journal Transportation Research Part B: Methodological.

    Volume (Year): 38 (2004)
    Issue (Month): 10 (December)
    Pages: 889-904

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    Handle: RePEc:eee:transb:v:38:y:2004:i:10:p:889-904

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    1. Swait, Joffre, 2001. "Choice set generation within the generalized extreme value family of discrete choice models," Transportation Research Part B: Methodological, Elsevier, Elsevier, vol. 35(7), pages 643-666, August.
    2. Williams, H. C. W. L. & Ortuzar, J. D., 1982. "Behavioural theories of dispersion and the mis-specification of travel demand models," Transportation Research Part B: Methodological, Elsevier, Elsevier, vol. 16(3), pages 167-219, June.
    3. Dennis H. Gensch, 1987. "A Two-Stage Disaggregate Attribute Choice Model," Marketing Science, INFORMS, INFORMS, vol. 6(3), pages 223-239.
    4. Pels, Eric & Nijkamp, Peter & Rietveld, Piet, 2003. "Access to and competition between airports: a case study for the San Francisco Bay area," Transportation Research Part A: Policy and Practice, Elsevier, vol. 37(1), pages 71-83, January.
    5. Manski, Charles F & Lerman, Steven R, 1977. "The Estimation of Choice Probabilities from Choice Based Samples," Econometrica, Econometric Society, Econometric Society, vol. 45(8), pages 1977-88, November.
    6. Eric Pels & Peter Nijkamp & Piet Rietveld, 2001. "Airport and Airline Choice in a Multiple Airport Region: An Empirical Analysis for the San Francisco Bay Area," Regional Studies, Taylor & Francis Journals, Taylor & Francis Journals, vol. 35(1), pages 1-9.
    7. Swait, Joffre & Ben-Akiva, Moshe, 1987. "Incorporating random constraints in discrete models of choice set generation," Transportation Research Part B: Methodological, Elsevier, Elsevier, vol. 21(2), pages 91-102, April.
    8. Furuichi, Masahiko & Koppelman, Frank S., 1994. "An analysis of air travelers' departure airport and destination choice behavior," Transportation Research Part A: Policy and Practice, Elsevier, vol. 28(3), pages 187-195, May.
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    Cited by:
    1. Bilotkach, Volodymyr & Gorodnichenko, Yuriy & Talavera, Oleksandr, 2012. "Sensitivity of prices to demand shocks: A natural experiment in the San Francisco Bay Area," Transportation Research Part A: Policy and Practice, Elsevier, vol. 46(7), pages 1137-1151.
    2. Kaplan, Sigal & Shiftan, Yoram & Bekhor, Shlomo, 2012. "Development and estimation of a semi-compensatory model with a flexible error structure," Transportation Research Part B: Methodological, Elsevier, Elsevier, vol. 46(2), pages 291-304.
    3. Daniel Strobach, 2006. "Competition between airports with an application to the state of Baden-Württemberg," Diskussionspapiere aus dem Institut für Volkswirtschaftslehre der Universität Hohenheim, Department of Economics, University of Hohenheim, Germany 272/2006, Department of Economics, University of Hohenheim, Germany.
    4. Stephane Hess, 2005. "Analysing air-travel choice behaviour in the Greater London area," ERSA conference papers ersa05p736, European Regional Science Association.
    5. Jun Ishii & Sunyoung Jun & Kurt Van Dender, 2006. "Air Travel Choices in Multi-Airport Markets," Working Papers 050622, University of California-Irvine, Department of Economics.
    6. Sigal Kaplan & Yoram Shiftan & Shlomo Bekhor, 2011. "A Semi-Compensatory Residential Choice Model With Flexible Error Structure," ERSA conference papers ersa10p65, European Regional Science Association.
    7. Hindsley, Paul & Landry, Craig E. & Gentner, Brad, 2011. "Addressing onsite sampling in recreation site choice models," Journal of Environmental Economics and Management, Elsevier, vol. 62(1), pages 95-110, July.
    8. Barbot, Cristina, 2009. "Airport and airlines competition: Incentives for vertical collusion," Transportation Research Part B: Methodological, Elsevier, Elsevier, vol. 43(10), pages 952-965, December.
    9. Yusufcan Masatlioglu & Daisuke Nakajima & Erkut Y. Ozbay, 2012. "Revealed Attention," American Economic Review, American Economic Association, American Economic Association, vol. 102(5), pages 2183-2205, August.
    10. Hess, Stephane, 2007. "Posterior analysis of random taste coefficients in air travel behaviour modelling," Journal of Air Transport Management, Elsevier, vol. 13(4), pages 203-212.
    11. Martínez-Garcia, Esther & Ferrer-Rosell, Berta & Coenders, Germà , 2012. "Profile of business and leisure travelers on low cost carriers in Europe," Journal of Air Transport Management, Elsevier, vol. 20(C), pages 12-14.
    12. Coldren, Gregory M. & Koppelman, Frank S., 2005. "Modeling the competition among air-travel itinerary shares: GEV model development," Transportation Research Part A: Policy and Practice, Elsevier, vol. 39(4), pages 345-365, May.
    13. Sigal Kaplan & Shlomo Bekhor & Yoram Shiftan, 2011. "Development and estimation of a semi-compensatory residential choice model based on explicit choice protocols," The Annals of Regional Science, Springer, Springer, vol. 47(1), pages 51-80, August.
    14. Cantillo, Víctor & Amaya, Johanna & Ortúzar, J. de D., 2010. "Thresholds and indifference in stated choice surveys," Transportation Research Part B: Methodological, Elsevier, Elsevier, vol. 44(6), pages 753-763, July.
    15. Cascetta, Ennio & Papola, Andrea, 2009. "Dominance among alternatives in random utility models," Transportation Research Part A: Policy and Practice, Elsevier, vol. 43(2), pages 170-179, February.
    16. Zhang, Yunlong & Xie, Yuanchang, 2005. "Small community airport choice behavior analysis: A case study of GTR," Journal of Air Transport Management, Elsevier, vol. 11(6), pages 442-447.
    17. Zolfaghari, Alireza & Sivakumar, Aruna & Polak, John, 2013. "Simplified probabilistic choice set formation models in a residential location choice context," Journal of choice modelling, Elsevier, Elsevier, vol. 9(C), pages 3-13.
    18. Erwin Blackstone & Andrew Buck & Simon Hakim, 2006. "Determinants of Airport Choice in a Multi-Airport Region," Atlantic Economic Journal, International Atlantic Economic Society, International Atlantic Economic Society, vol. 34(3), pages 313-326, September.
    19. Behrens, Christiaan & Pels, Eric, 2012. "Intermodal competition in the London–Paris passenger market: High-Speed Rail and air transport," Journal of Urban Economics, Elsevier, vol. 71(3), pages 278-288.

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