IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this article or follow this journal

A comparison of two alternative behavioral choice mechanisms for household auto ownership decisions

  • Bhat, Chandra R.
  • Pulugurta, Vamsi
Registered author(s):

    Auto ownership modeling plays an important role in travel demand analysis because it is a key determinant of the travel behavior of individuals and households. Discrete-choice auto ownership models use either an ordered-response choice mechanism or an unordered-response choice mechanism. The ordered-response mechanism is based on the hypothesis that an uni-dimensional continuous latent auto ownership propensity index determines the level of car ownership. The unordered-response mechanism is based on the Random Utility Maximization principle. This paper presents the underlying theoretical structures, and identifies the advantages and disadvantages, of the two alternative response mechanisms. The paper also compares the ordered-response mechanism (represented by the ordered-response logit model) and the unordered-response mechanism (represented by the multinomial logit model) empirically using several data sets. This comparative analysis offers strong evidence that the appropriate choice mechanism is the unordered-response structure. As a general guideline, auto ownership modeling must be pursued using the unordered-response class of models (such as the multinomial logit or probit model) and not using the ordered-response class of models (such as the ordered-response logit or probit).

    If 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.

    File URL: http://www.sciencedirect.com/science/article/B6V99-3SX5J7V-B/2/825f6914120f497ae18a4206c2b4f133
    Download Restriction: Full text for ScienceDirect subscribers only

    As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

    Article provided by Elsevier in its journal Transportation Research Part B: Methodological.

    Volume (Year): 32 (1998)
    Issue (Month): 1 (January)
    Pages: 61-75

    as
    in new window

    Handle: RePEc:eee:transb:v:32:y:1998:i:1:p:61-75
    Contact details of provider: Web page: http://www.elsevier.com/wps/find/journaldescription.cws_home/548/description#description

    Order Information: Postal: http://www.elsevier.com/wps/find/supportfaq.cws_home/regional
    Web: https://shop.elsevier.com/order?id=548&ref=548_01_ooc_1&version=01

    References listed on IDEAS
    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.:

    as in new window
    1. Uncles, Mark D., 1987. "A beta-logistic model of mode choice: Goodness of fit and intertemporal dependence," Transportation Research Part B: Methodological, Elsevier, vol. 21(3), pages 195-205, June.
    2. Bhat, Chandra R. & Koppelman, Frank S., 1993. "An endogenous switching simultaneous equation system of employment, income, and car ownership," Transportation Research Part A: Policy and Practice, Elsevier, vol. 27(6), pages 447-459, November.
    3. Golob, Thomas F., 1990. "The Dynamics of Household Travel Time Expenditures and Car Ownership Decisions," University of California Transportation Center, Working Papers qt1676t0bp, University of California Transportation Center.
    4. Han, Aaron & Hausman, Jerry A, 1990. "Flexible Parametric Estimation of Duration and Competing Risk Models," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 5(1), pages 1-28, January-M.
    5. Meurs, Henk, 1990. "Trip generation models with permanent unobserved effects," Transportation Research Part B: Methodological, Elsevier, vol. 24(2), pages 145-158, April.
    6. Golob, Thomas F., 1990. "The Dynamics of Household Travel Time Expenditures and Car Ownership Decisions," University of California Transportation Center, Working Papers qt2t18b4q9, University of California Transportation Center.
    Full references (including those not matched with items on IDEAS)

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    When requesting a correction, please mention this item's handle: RePEc:eee:transb:v:32:y:1998:i:1:p:61-75. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei)

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.