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Determining elasticities in discrete choice models

Author

Listed:
  • Ruben Sainz-Gonzalez
  • Pablo Coto-Millan
  • Ramon Nunez-Sanchez
  • Irene Andres-Moro

Abstract

The objective of this paper is to determine the changes in the probability of choosing a private car for travelling, these changes being caused by variations in the generic variables of travel time and cost. For that purpose, we adjust discrete choice models in relation to private or public transport election, analysing passenger behaviour with regard to the different reasons for travelling and the time of the day of the trip. In addition, we determine the time and cost elasticities of transport demand in discrete choice models. This research shows that the elasticities with respect to the time difference variable are higher than the ones obtained considering cost difference and, for trips with study purposes, the elasticities are higher than those calculated for other travel purposes. Finally, an empirical application for the city of Santander (Spain) is offered.

Suggested Citation

  • Ruben Sainz-Gonzalez & Pablo Coto-Millan & Ramon Nunez-Sanchez & Irene Andres-Moro, 2009. "Determining elasticities in discrete choice models," International Journal of Procurement Management, Inderscience Enterprises Ltd, vol. 2(4), pages 377-387.
    • Handle: RePEc:ids:ijpman:v:2:y:2009:i:4:p:377-387
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