IDEAS home Printed from https://ideas.repec.org/a/eee/transb/v60y2014icp107-114.html
   My bibliography  Save this article

Optimal choices of fare collection systems for public transportations: Barrier versus barrier-free

Author

Listed:
  • Sasaki, Yasuo

Abstract

The present study focuses on two major types of fare collection systems for public transportations, barrier and barrier-free, and provides a mathematical framework to evaluate optimal choices between them, i.e., which system can be more profitable for a transit agency. In particular, we consider game-theoretic interactions between the transit agency and passengers for the barrier-free system and suppose that frequencies of free rides of passengers as well as inspections of the transit agency are given as a Nash equilibrium. Then the optimal choice of fare collection system is described as a subgame perfection solution in an extensive form game. We also conduct a comparative static analysis and examine how each parameter can affect the choice. As an application, we use the framework to explain various choices of fare collection systems in our society depending on local circumstances or transportation types.

Suggested Citation

  • Sasaki, Yasuo, 2014. "Optimal choices of fare collection systems for public transportations: Barrier versus barrier-free," Transportation Research Part B: Methodological, Elsevier, vol. 60(C), pages 107-114.
  • Handle: RePEc:eee:transb:v:60:y:2014:i:c:p:107-114
    DOI: 10.1016/j.trb.2013.12.005
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0191261513002245
    Download Restriction: Full text for ScienceDirect subscribers only

    File URL: https://libkey.io/10.1016/j.trb.2013.12.005?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Tirachini, Alejandro & Hensher, David A., 2011. "Bus congestion, optimal infrastructure investment and the choice of a fare collection system in dedicated bus corridors," Transportation Research Part B: Methodological, Elsevier, vol. 45(5), pages 828-844, June.
    2. Robert Aumann & Adam Brandenburger, 2014. "Epistemic Conditions for Nash Equilibrium," World Scientific Book Chapters, in: The Language of Game Theory Putting Epistemics into the Mathematics of Games, chapter 5, pages 113-136, World Scientific Publishing Co. Pte. Ltd..
    3. Masahiko Aoki, 2001. "Toward a Comparative Institutional Analysis," MIT Press Books, The MIT Press, edition 1, volume 1, number 0262011875, December.
    4. Avenhaus, Rudolf & Von Stengel, Bernhard & Zamir, Shmuel, 2002. "Inspection games," Handbook of Game Theory with Economic Applications, in: R.J. Aumann & S. Hart (ed.), Handbook of Game Theory with Economic Applications, edition 1, volume 3, chapter 51, pages 1947-1987, Elsevier.
    5. Polinsky, Mitchell & Shavell, Steven, 1979. "The Optimal Tradeoff between the Probability and Magnitude of Fines," American Economic Review, American Economic Association, vol. 69(5), pages 880-891, December.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Benedetto Barabino & Sara Salis, 2019. "Moving Towards a More Accurate Level of Inspection Against Fare Evasion in Proof-of-Payment Transit Systems," Networks and Spatial Economics, Springer, vol. 19(4), pages 1319-1346, December.
    2. Ramos, Raúl & Silva, Hugo E., 2023. "Fare evasion in public transport: How does it affect the optimal design and pricing?," Transportation Research Part B: Methodological, Elsevier, vol. 176(C).
    3. Barabino, Benedetto & Salis, Sara & Useli, Bruno, 2015. "What are the determinants in making people free riders in proof-of-payment transit systems? Evidence from Italy," Transportation Research Part A: Policy and Practice, Elsevier, vol. 80(C), pages 184-196.
    4. Barabino, Benedetto & Salis, Sara & Useli, Bruno, 2014. "Fare evasion in proof-of-payment transit systems: Deriving the optimum inspection level," Transportation Research Part B: Methodological, Elsevier, vol. 70(C), pages 1-17.
    5. Yang, Zhisen & Yang, Zaili & Yin, Jingbo & Qu, Zhuohua, 2018. "A risk-based game model for rational inspections in port state control," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 118(C), pages 477-495.
    6. Guzman, Luis A. & Arellana, Julian & Camargo, José Pablo, 2021. "A hybrid discrete choice model to understand the effect of public policy on fare evasion discouragement in Bogotá's Bus Rapid Transit," Transportation Research Part A: Policy and Practice, Elsevier, vol. 151(C), pages 140-153.
    7. Elmar Wilhelm M. Fürst & David M. Herold, 2018. "Fare Evasion and Ticket Forgery in Public Transport: Insights from Germany, Austria and Switzerland," Societies, MDPI, vol. 8(4), pages 1-16, October.
    8. Boyd, Colin, 2020. "Revisiting the foundations of fare evasion research," Transportation Research Part A: Policy and Practice, Elsevier, vol. 137(C), pages 313-324.
    9. Nourinejad, Mehdi & Roorda, Matthew J., 2017. "Parking enforcement policies for commercial vehicles," Transportation Research Part A: Policy and Practice, Elsevier, vol. 102(C), pages 33-50.
    10. Zis, Thalis P.V., 2021. "A game theoretic approach on improving sulphur compliance," Transport Policy, Elsevier, vol. 114(C), pages 127-137.
    11. Benedetto Barabino & Sara Salis, 2023. "Segmenting fare-evaders by tandem clustering and logistic regression models," Public Transport, Springer, vol. 15(1), pages 61-96, March.
    12. Delbosc, Alexa & Currie, Graham, 2016. "Cluster analysis of fare evasion behaviours in Melbourne, Australia," Transport Policy, Elsevier, vol. 50(C), pages 29-36.
    13. Nourinejad, Mehdi & Gandomi, Amir & Roorda, Matthew J., 2020. "Illegal parking and optimal enforcement policies with search friction," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 141(C).
    14. Benedetto Barabino & Cristian Lai & Alessandro Olivo, 2020. "Fare evasion in public transport systems: a review of the literature," Public Transport, Springer, vol. 12(1), pages 27-88, March.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Masahiko Aoki, 2013. "Institutions as cognitive media between strategic interactions and individual beliefs," Chapters, in: Comparative Institutional Analysis, chapter 17, pages 298-312, Edward Elgar Publishing.
    2. Aoki, Masahiko, 2010. "Understanding Douglass North in game-theoretic language," Structural Change and Economic Dynamics, Elsevier, vol. 21(2), pages 139-146, May.
    3. Csaba, László, 2014. "Átmenettan és közgazdaságtan. Módszertani tanulságok egy részterület műveléséből [Transitology" and economics. Methodological lessons to be drawn from work in a partial territory]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(1), pages 53-67.
    4. Nakashima, Kiyotaka & Ogawa, Toshiaki, 2020. "The Impacts of Strengthening Regulatory Surveillance on Bank Behavior: A Dynamic Analysis from Incomplete to Complete Enforcement of Capital Regulation in Microprudential Policy," MPRA Paper 99938, University Library of Munich, Germany.
    5. Antonio Acconcia & Marcello D'Amato & Riccardo Martina, 2003. "Corruption and Tax Evasion with Competitive Bribes," CSEF Working Papers 112, Centre for Studies in Economics and Finance (CSEF), University of Naples, Italy.
    6. Alioğulları, Zeynel Harun & Barlo, Mehmet, 2012. "Entropic selection of Nash equilibrium," MPRA Paper 37132, University Library of Munich, Germany.
    7. Renou, Ludovic & Schlag, Karl H., 2010. "Minimax regret and strategic uncertainty," Journal of Economic Theory, Elsevier, vol. 145(1), pages 264-286, January.
    8. Mezzetti, Claudio & Renou, Ludovic, 2012. "Implementation in mixed Nash equilibrium," Journal of Economic Theory, Elsevier, vol. 147(6), pages 2357-2375.
    9. Ye, Silin & Zhou, Jing & Jiang, Yunwen & Liu, Xiaming, 2023. "Managers as the bridge: How cultural friction influences the integration of cross-border mergers and acquisitions," International Business Review, Elsevier, vol. 32(4).
    10. Yuval Heller & Eyal Winter, 2020. "Biased-Belief Equilibrium," American Economic Journal: Microeconomics, American Economic Association, vol. 12(2), pages 1-40, May.
    11. Jan Eeckhout & Nicola Persico & Petra E. Todd, 2010. "A Theory of Optimal Random Crackdowns," American Economic Review, American Economic Association, vol. 100(3), pages 1104-1135, June.
    12. Ghulam Shabbir & Mumtaz Anwar & Shahid Adil, 2016. "Corruption, Political Stability and Economic Growth," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 55(4), pages 689-702.
    13. Van Damme, Eric, 2002. "Strategic equilibrium," Handbook of Game Theory with Economic Applications, in: R.J. Aumann & S. Hart (ed.), Handbook of Game Theory with Economic Applications, edition 1, volume 3, chapter 41, pages 1521-1596, Elsevier.
    14. Jan Boone & Peter Fredriksson & Bertil Holmlund & Jan C. van Ours, 2007. "Optimal Unemployment Insurance with Monitoring and Sanctions," Economic Journal, Royal Economic Society, vol. 117(518), pages 399-421, March.
    15. Cordes, Christian & Richerson, Peter J. & Schwesinger, Georg, 2010. "How corporate cultures coevolve with the business environment: The case of firm growth crises and industry evolution," Journal of Economic Behavior & Organization, Elsevier, vol. 76(3), pages 465-480, December.
    16. Siegfried Berninghaus & Werner Güth & M. Vittoria Levati & Jianying Qiu, 2006. "Satisficing in sales competition: experimental evidence," Papers on Strategic Interaction 2006-32, Max Planck Institute of Economics, Strategic Interaction Group.
    17. Arguedas, Carmen & Rousseau, Sandra, 2009. "A note on the complementarity of uniform emission standards and monitoring strategies," Working Papers 2009/12, Hogeschool-Universiteit Brussel, Faculteit Economie en Management.
    18. Ezra Friedman & Abraham L. Wickelgren, 2006. "Bayesian Juries and The Limits to Deterrence," The Journal of Law, Economics, and Organization, Oxford University Press, vol. 22(1), pages 70-86, April.
    19. Christopher, Joe, 2012. "Tension between the corporate and collegial cultures of Australian public universities: The current status," CRITICAL PERSPECTIVES ON ACCOUNTING, Elsevier, vol. 23(7), pages 556-571.
    20. Ferreira J. -L. & Gilboa I. & Maschler M., 1995. "Credible Equilibria in Games with Utilities Changing during the Play," Games and Economic Behavior, Elsevier, vol. 10(2), pages 284-317, August.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:transb:v:60:y:2014:i:c:p:107-114. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/wps/find/journaldescription.cws_home/548/description#description .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.