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Commuters' Preferences for Fast and Reliable Travel

Author

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  • Paul Koster

    (VU University Amsterdam)

  • Hans Koster

    (VU University Amsterdam)

Abstract

This discussion paper led to a publication in 'Transportation Research Part B: Methodological' . We employ a semi-parametric estimation approach to analyse observed and unobserved heterogeneity in the value of savings in travel time and schedule delay. Our econometric approach allows for the estimation of unobserved and observed heterogeneity in preferences in a flexible way, meaning that we do not put any structure on how individual characteristics (such as income and age) relate to the value of savings in travel time and schedule delay. Using data from a stated choice experiment, we illustrate the estimation approach and find that there is substantial heterogeneity in the value of savings in travel time and schedule delay. For our data, we find that unobserved heterogeneity is more important than heterogeneity related to individual characteristics.

Suggested Citation

  • Paul Koster & Hans Koster, 2013. "Commuters' Preferences for Fast and Reliable Travel," Tinbergen Institute Discussion Papers 13-075/VIII, Tinbergen Institute, revised 30 Apr 2015.
    • Handle: RePEc:tin:wpaper:20130075
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    References listed on IDEAS

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    Cited by:

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    2. Thijs Dekker & Paul Koster & Roy Brouwer, 2014. "Changing with the Tide: Semiparametric Estimation of Preference Dynamics," Land Economics, University of Wisconsin Press, vol. 90(4), pages 717-745.
    3. Gokan,Toshitaka & Kichko,Sergei & Matheson,Jesse A & Thisse,Jacques-François, 2022. "How the rise of teleworking will reshape labor markets and cities?," IDE Discussion Papers 868, Institute of Developing Economies, Japan External Trade Organization(JETRO).
    4. van den Berg, Vincent A.C., 2014. "Coarse tolling with heterogeneous preferences," Transportation Research Part B: Methodological, Elsevier, vol. 64(C), pages 1-23.
    5. Carl Gaigné & Hans R.A. Koster & Fabien Moizeau & Jacques-François Thisse, 2017. "Amenities and the Social Structure of Cities," Economics Working Paper Archive (University of Rennes 1 & University of Caen) 2017-07, Center for Research in Economics and Management (CREM), University of Rennes 1, University of Caen and CNRS.
    6. Steijn, Mathieu P.A. & Koster, Hans R.A. & Van Oort, Frank G., 2022. "The dynamics of industry agglomeration: Evidence from 44 years of coagglomeration patterns," Journal of Urban Economics, Elsevier, vol. 130(C).

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    More about this item

    Keywords

    local maximum likelihood; heterogeneity; scheduling; semiparametric Logit; latent class; normalised entropy criterion; value of time; value of reliability;
    All these keywords.

    JEL classification:

    • R4 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics
    • C14 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Semiparametric and Nonparametric Methods: General
    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models

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