Value of Travel Time Savings for University Students and Preference Heterogeneity
AbstractThis paper examines the sensitivity of value of travel time savings (VTTS) to assumptions on individual preferences in a random utility discrete choice framework. Preferences heterogeneity is incorporated by introducing random parameters and by interacting characteristics of travel modes with characteristics of the individual. The data set is a revealed preference survey on student travel mode choice. The results indicate that there is a systematic influence of gender on VTTS and additional heterogeneity is explained by unobserved characteristics. The evidence also suggests model specifications that impose preferences homogeneity tend to produce lower estimates of VTTS compared with more flexible structures that allow random variation of parameters over individuals. However, the degree of underestimation seems to be context dependent..
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by IEF in its journal Hacienda Pública Española/Revista de Economía Pública.
Volume (Year): 174 (2005)
Issue (Month): 3 (September)
Random utility discrete choice models; preference heterogeneity; subjective value of travel time; random parameter logit.;
Find related papers by JEL classification:
- R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion
- C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions
- D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Fredrik Carlsson, 2003.
"The demand for intercity public transport: the case of business passengers,"
Taylor & Francis Journals, vol. 35(1), pages 41-50.
- Carlsson, Fredrik, 1999. "The Demand for Intercity Public Transport: The Case of Business Passengers," Working Papers in Economics 12, University of Gothenburg, Department of Economics.
- Bates, John J, 1987. "Measuring Travel Time Values with a Discrete Choice Model: A Note," Economic Journal, Royal Economic Society, vol. 97(386), pages 493-98, June.
- Kenneth E. Train, 1998. "Recreation Demand Models with Taste Differences over People," Land Economics, University of Wisconsin Press, vol. 74(2), pages 230-239.
- Hess, Stephane & Bierlaire, Michel & Polak, John W., 2005. "Estimation of value of travel-time savings using mixed logit models," Transportation Research Part A: Policy and Practice, Elsevier, vol. 39(2-3), pages 221-236.
- Train,Kenneth E., 2009.
"Discrete Choice Methods with Simulation,"
Cambridge University Press, number 9780521747387, December.
- Daniel McFadden & Kenneth Train, 2000. "Mixed MNL models for discrete response," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 15(5), pages 447-470.
- David Hensher, 2001. "The valuation of commuter travel time savings for car drivers: evaluating alternative model specifications," Transportation, Springer, vol. 28(2), pages 101-118, May.
- Algers, S. & Bergstrom, P. & Dahlberg, M. & Dillen, J.L., 1998.
"Mixed Logit Estimation of the Value of Travel Time,"
1998:15, Uppsala - Working Paper Series.
- Algers, Staffan & Bergström, Pål & Dahlberg, Matz & Lindqvist Dillén, Johanna, 1998. "Mixed Logit Estimation of the Value of Travel Time," Working Paper Series 1998:15, Uppsala University, Department of Economics.
- H C W L Williams, 1977. "On the formation of travel demand models and economic evaluation measures of user benefit," Environment and Planning A, Pion Ltd, London, vol. 9(3), pages 285-344, March.
- McFadden, Daniel, 1974. "The measurement of urban travel demand," Journal of Public Economics, Elsevier, vol. 3(4), pages 303-328, November.
- DeSerpa, A C, 1971. "A Theory of the Economics of Time," Economic Journal, Royal Economic Society, vol. 81(324), pages 828-46, December.
- Mauricio Sillano & Juan de Dios Ort�zar, 2005. "Willingness-to-pay estimation with mixed logit models: some new evidence," Environment and Planning A, Pion Ltd, London, vol. 37(3), pages 525-550, March.
- Breffle, William S. & Morey, Edward R., 2000. "Investigating Preference Heterogeneity In A Repeated Discrete-Choice Recreation Demand Model Of Atlantic Salmon Fishing," Marine Resource Economics, Marine Resources Foundation, vol. 15(1).
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Olga Cantó Sánchez) The email address of this maintainer does not seem to be valid anymore. Please ask Olga Cantó Sánchez to update the entry or send us the correct address.
If references are entirely missing, you can add them using this form.