Long-Run vs. Short-Run Perspectives on Consumer Scheduling: Evidence from a Revealed-Preference Experiment among Peak-Hour Road Commuters
AbstractTheoretical and empirical studies of consumer scheduling behavior usually ignore that consumers have more flexibility to adjust their schedule in the long run than in the short run. We are able to distinguish between long-run choices of travel routines and short-run choices of departure times due to an extensive panel dataset of commuters who participate in a real-life peak avoidance experiment. We find that the participants, who obtain a monetary reward for not traveling along a camera-observed highway link during the morning peak, value travel time higher in the long-run context compared to the short run, as changes in travel time are more permanent and can be exploited better through the adjustment of routines. Schedule delays are, in contrast, valued higher inthe short-run model, reflecting that scheduling restrictions are typically more binding in the short run. Since the short-run and the long-run shadow prices di er by factors ranging from 2 to 5 in our basic model, our results may have substantial impacts on optimal choices for transport policies such as pricing and investment.
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 InfoPaper provided by Tinbergen Institute in its series Tinbergen Institute Discussion Papers with number 11-181/3.
Date of creation: 22 Dec 2011
Date of revision: 16 May 2012
Contact details of provider:
Web page: http://www.tinbergen.nl
scheduling model; travel routines; departure time choices; long-run vs. short-run; information; travel time expectations; revealed preference data; reward experiment;
Find related papers by JEL classification:
- C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions
- D03 - Microeconomics - - General - - - Behavioral Economics; Underlying Principles
- D80 - Microeconomics - - Information, Knowledge, and Uncertainty - - - General
- R48 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Systems - - - Government Pricing and Policy
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-05-29 (All new papers)
- NEP-CBE-2012-05-29 (Cognitive & Behavioural Economics)
- NEP-TRE-2012-05-29 (Transport Economics)
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.:
- Qi Li & Jeffrey Scott Racine, 2006. "Nonparametric Econometrics: Theory and Practice," Economics Books, Princeton University Press, edition 1, volume 1, number 8355, May.
- Van Ommeren, Jos & Fosgerau, Mogens, 2009.
"Workers' marginal costs of commuting,"
Journal of Urban Economics,
Elsevier, vol. 65(1), pages 38-47, January.
- Noland, Robert B. & Small, Kenneth A. & Koskenoja, Pia Maria & Chu, Xuehao, 1998.
"Simulating travel reliability,"
Regional Science and Urban Economics,
Elsevier, vol. 28(5), pages 535-564, September.
- Noland, Robert B. & Small, Kenneth A. & Koskenoja, Pia Maria & Chu, Xuehao, 1997. "Simulating Travel Reliability," University of California Transportation Center, Working Papers qt30w220k0, University of California Transportation Center.
- Noland, R.B. & Small, K.A. & Koskenoja, P.M. & Chu, X., 1996. "Simulating Travel Reliability," Papers 95-96-7, California Irvine - School of Social Sciences.
- Yin-Yen Tseng & Jasper Knockaert & Erik T. Verhoef, 2010. "Stick to the Plan? A Revealed-Preference Study of Behavioural Impacts of Traffic Information," Tinbergen Institute Discussion Papers 10-068/3, Tinbergen Institute.
- Stefanie Peer & Jasper Knockaert & Paul Koster & Yin-Yen Tseng & Erik Verhoef, 2011. "Door-to-Door Travel Times in RP Departure Time Choice Models: An Approximation Method based on GPS," Tinbergen Institute Discussion Papers 11-180/3, Tinbergen Institute, revised 17 May 2012.
- Small, Kenneth A, 1982. "The Scheduling of Consumer Activities: Work Trips," American Economic Review, American Economic Association, vol. 72(3), pages 467-79, June.
- Arnott, Richard & de Palma, Andre & Lindsey, Robin, 1993. "A Structural Model of Peak-Period Congestion: A Traffic Bottleneck with Elastic Demand," American Economic Review, American Economic Association, vol. 83(1), pages 161-79, March.
- Jos van Ommeren & Gerard J. van den Berg & Cees Gorter, 2000.
"Estimating the Marginal Willingness to Pay for Commuting,"
Journal of Regional Science,
Wiley Blackwell, vol. 40(3), pages 541-563.
- 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.
- Börjesson, Maria & Eliasson, Jonas & Franklin, Joel, 2012. "Valuations of travel time variability in scheduling versus mean-variance models," Working papers in Transport Economics 2012:2, CTS - Centre for Transport Studies Stockholm (KTH and VTI).
- Racine, Jeff & Li, Qi, 2004. "Nonparametric estimation of regression functions with both categorical and continuous data," Journal of Econometrics, Elsevier, vol. 119(1), pages 99-130, March.
- Greene, William H. & Hensher, David A., 2003. "A latent class model for discrete choice analysis: contrasts with mixed logit," Transportation Research Part B: Methodological, Elsevier, vol. 37(8), pages 681-698, September.
- DeSerpa, A C, 1971. "A Theory of the Economics of Time," Economic Journal, Royal Economic Society, vol. 81(324), pages 828-46, December.
- Vickrey, William S, 1969. "Congestion Theory and Transport Investment," American Economic Review, American Economic Association, vol. 59(2), pages 251-60, May.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Antoine Maartens (+31 626 - 160 892)).
If references are entirely missing, you can add them using this form.