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The university workers’ willingness to pay for commuting

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  • Giovanni Russo

    ()

  • Jos Ommeren

    ()

  • Piet Rietveld

Abstract

Using a dynamic approach, employing data on job mobility, we demonstrate that university workers’ marginal willingness to pay for reducing commuting distance is about €0.25 per kilometre travelled. This corresponds to a marginal willingness to pay for reducing commuting time of about 75 % of the net average hourly wage. For females, the willingness to pay is substantially higher than for males. It is also substantially higher for workers that work few hours per day, as predicted by theory. Copyright The Author(s) 2012

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File URL: http://hdl.handle.net/10.1007/s11116-012-9414-9
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Bibliographic Info

Article provided by Springer in its journal Transportation.

Volume (Year): 39 (2012)
Issue (Month): 6 (November)
Pages: 1121-1132

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Handle: RePEc:kap:transp:v:39:y:2012:i:6:p:1121-1132

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Web page: http://www.springerlink.com/link.asp?id=103007

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Keywords: University; Workers; Commute; Willingness to pay;

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References

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  1. Ransom, Michael R, 1993. "Seniority and Monopsony in the Academic Labor Market," American Economic Review, American Economic Association, vol. 83(1), pages 221-33, March.
  2. Barbezat, Debra A., 2004. "Revisiting the seniority wage effect for faculty," Economics Letters, Elsevier, vol. 82(2), pages 289-294, February.
  3. De Borger, Bruno & Fosgerau, Mogens, 2008. "The trade-off between money and travel time: A test of the theory of reference-dependent preferences," Journal of Urban Economics, Elsevier, vol. 64(1), pages 101-115, July.
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  6. Ommeren, Jos van & Berg, Gerard J. van den & Gorter, Cees, 1998. "Estimating the marginal willingness to pay for commuting," Serie Research Memoranda 0046, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
  7. Max Gruetter & Rafael Lalive, . "The Importance of Firms in Wage Determination," IEW - Working Papers 207, Institute for Empirical Research in Economics - University of Zurich.
  8. Eva Gutierrez-i-Puigarnau & Jos N. van Ommeren, 2010. "Start Time and Worker Compensation: Implications for Staggered-Hours Programs," Tinbergen Institute Discussion Papers 10-073/3, Tinbergen Institute.
  9. Zax, Jeffrey S., 1991. "Compensation for commutes in labor and housing markets," Journal of Urban Economics, Elsevier, vol. 30(2), pages 192-207, September.
  10. Hwang, Hae-shin & Reed, W Robert & Hubbard, Carlton, 1992. "Compensating Wage Differentials and Unobserved Productivity," Journal of Political Economy, University of Chicago Press, vol. 100(4), pages 835-58, August.
  11. Van Ommeren, Jos & Fosgerau, Mogens, 2009. "Workers' marginal costs of commuting," Journal of Urban Economics, Elsevier, vol. 65(1), pages 38-47, January.
  12. Gutiérrez-i-Puigarnau, Eva & van Ommeren, Jos N., 2010. "Labour supply and commuting," Journal of Urban Economics, Elsevier, vol. 68(1), pages 82-89, July.
  13. Jos Van Ommeren & Mihails Hazans, 2005. "The Workers' Value of the Remaining Employment Contract Duration," Tinbergen Institute Discussion Papers 05-069/3, Tinbergen Institute.
  14. Richard Arnott, 2007. "Congestion Tolling with Agglomeration Externalities," Boston College Working Papers in Economics 660, Boston College Department of Economics.
  15. Hwang, Hae-shin & Mortensen, Dale T & Reed, W Robert, 1998. "Hedonic Wages and Labor Market Search," Journal of Labor Economics, University of Chicago Press, vol. 16(4), pages 815-47, October.
  16. Harald Dale-Olsen, 2006. "Estimating Workers' Marginal Willingness to Pay for Safety using Linked Employer-Employee Data," Economica, London School of Economics and Political Science, vol. 73(289), pages 99-127, 02.
  17. Eva Gutiérrez‐i‐Puigarnau & Jos N. Van Ommeren, 2011. "Welfare Effects Of Distortionary Fringe Benefits Taxation: The Case Of Employer‐Provided Cars," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 52(4), pages 1105-1122, November.
  18. Eva Gutiérrez-i-Puigarnau & Jos N. Van Ommeren, 2012. "Start Time and Worker Compensation Implications for Staggered-Hours Programmes," Journal of Transport Economics and Policy, London School of Economics and University of Bath, vol. 46(2), pages 205-220, May.
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