IDEAS home Printed from https://ideas.repec.org/a/kap/netspa/v21y2021i3d10.1007_s11067-021-09531-y.html
   My bibliography  Save this article

Exploring Multiple‐discreteness in Freight Transport. A Multiple Discrete Extreme Value Model Application for Grain Consolidators in Argentina

Author

Listed:
  • Rodrigo J. Tapia

    (Delft University of Technology
    Universidade Federal do Rio Grande do Sul)

  • Gerard Jong

    (University of Leeds)

  • Ana M. Larranaga

    (Delft University of Technology)

  • Helena B. Bettella Cybis

    (Delft University of Technology)

Abstract

There are some examples where freight choices may be of a multiple discrete nature, especially the ones at more tactical levels of planning. Nevertheless, this has not been investigated in the literature, although several discrete-continuous models for mode/vehicle type and shipment size choice have been developed in freight transport. In this work, we propose that the decision of port and mode of the grain consolidators in Argentina is of a discrete-continuous nature, where they can choose more than one alternative and how much of their production to send by each mode. The Multiple Discrete Extreme Value Model (MDCEV) framework was applied to a stated preference data set with a response variable that allowed this multiple-discreteness. To our knowledge, this is the only application of the MDCEV in regional freight context. Free alongside ship price, freight transport cost, lead-time and travel time were included in the utility function and observed and random heterogeneity was captured by the interaction with the consolidator’s characteristics and random coefficients. In addition, different discrete choice models were used to compare the forecasting performance, willingness to pay measures and structure of the utility function against.

Suggested Citation

  • Rodrigo J. Tapia & Gerard Jong & Ana M. Larranaga & Helena B. Bettella Cybis, 2021. "Exploring Multiple‐discreteness in Freight Transport. A Multiple Discrete Extreme Value Model Application for Grain Consolidators in Argentina," Networks and Spatial Economics, Springer, vol. 21(3), pages 581-608, September.
  • Handle: RePEc:kap:netspa:v:21:y:2021:i:3:d:10.1007_s11067-021-09531-y
    DOI: 10.1007/s11067-021-09531-y
    as

    Download full text from publisher

    File URL: http://link.springer.com/10.1007/s11067-021-09531-y
    File Function: Abstract
    Download Restriction: Access to full text is restricted to subscribers.

    File URL: https://libkey.io/10.1007/s11067-021-09531-y?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. Lu, Hui & Hess, Stephane & Daly, Andrew & Rohr, Charlene, 2017. "Measuring the impact of alcohol multi-buy promotions on consumers' purchase behaviour," Journal of choice modelling, Elsevier, vol. 24(C), pages 75-95.
    2. Naveen Eluru & Chandra Bhat & Ram Pendyala & Karthik Konduri, 2010. "A joint flexible econometric model system of household residential location and vehicle fleet composition/usage choices," Transportation, Springer, vol. 37(4), pages 603-626, July.
    3. Larranaga, Ana Margarita & Arellana, Julian & Senna, Luiz Afonso, 2017. "Encouraging intermodality: A stated preference analysis of freight mode choice in Rio Grande do Sul," Transportation Research Part A: Policy and Practice, Elsevier, vol. 102(C), pages 202-211.
    4. Bhat, Chandra R. & Sen, Sudeshna, 2006. "Household vehicle type holdings and usage: an application of the multiple discrete-continuous extreme value (MDCEV) model," Transportation Research Part B: Methodological, Elsevier, vol. 40(1), pages 35-53, January.
    5. Rachel Copperman & Chandra Bhat, 2007. "An analysis of the determinants of children’s weekend physical activity participation," Transportation, Springer, vol. 34(1), pages 67-87, January.
    6. Cohan, Luciano & Costa, Ramiro, 2011. "Panorama general de las nuevas formas de organización del agro: las principales cadenas agroalimentarias," Documentos de Proyectos 3930, Naciones Unidas Comisión Económica para América Latina y el Caribe (CEPAL).
    7. Rajesh Paleti & Rachel Copperman & Chandra Bhat, 2011. "An empirical analysis of children’s after school out-of-home activity-location engagement patterns and time allocation," Transportation, Springer, vol. 38(2), pages 273-303, March.
    8. Danielis, Romeo & Marcucci, Edoardo, 2007. "Attribute cut-offs in freight service selection," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 43(5), pages 506-515, September.
    9. Sikder, Sujan & Pinjari, Abdul Rawoof, 2013. "The benefits of allowing heteroscedastic stochastic distributions in multiple discrete-continuous choice models," Journal of choice modelling, Elsevier, vol. 9(C), pages 39-56.
    10. Bhat, Chandra R. & Srinivasan, Sivaramakrishnan & Sen, Sudeshna, 2006. "A joint model for the perfect and imperfect substitute goods case: Application to activity time-use decisions," Transportation Research Part B: Methodological, Elsevier, vol. 40(10), pages 827-850, December.
    11. Erika Spissu & Abdul Pinjari & Chandra Bhat & Ram Pendyala & Kay Axhausen, 2009. "An analysis of weekly out-of-home discretionary activity participation and time-use behavior," Transportation, Springer, vol. 36(5), pages 483-510, September.
    12. David Hensher & William Greene, 2003. "The Mixed Logit model: The state of practice," Transportation, Springer, vol. 30(2), pages 133-176, May.
    13. Sabreena Anowar & Naveen Eluru & Luis F. Miranda-Moreno, 2018. "How household transportation expenditures have evolved in Canada: a long term perspective," Transportation, Springer, vol. 45(5), pages 1297-1317, September.
    14. Nazneen Ferdous & Abdul Pinjari & Chandra Bhat & Ram Pendyala, 2010. "A comprehensive analysis of household transportation expenditures relative to other goods and services: an application to United States consumer expenditure data," Transportation, Springer, vol. 37(3), pages 363-390, May.
    15. Zamparini, Luca & Layaa, John & Dullaert, Wout, 2011. "Monetary values of freight transport quality attributes: A sample of Tanzanian firms," Journal of Transport Geography, Elsevier, vol. 19(6), pages 1222-1234.
    16. Tapia, Rodrigo Javier & dos Santos Senna, Luiz Afonso & Larranaga, Ana Margarita & Cybis, Helena Beatriz Bettella, 2019. "Joint mode and port choice for soy production in Buenos Aires province, Argentina," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 121(C), pages 100-118.
    17. Gatta, Valerio & Marcucci, Edoardo & Scaccia, Luisa, 2015. "On finite sample performance of confidence intervals methods for willingness to pay measures," Transportation Research Part A: Policy and Practice, Elsevier, vol. 82(C), pages 169-192.
    18. Rich, J. & Holmblad, P.M. & Hansen, C.O., 2009. "A weighted logit freight mode-choice model," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 45(6), pages 1006-1019, November.
    19. Marcucci, Edoardo & Gatta, Valerio & Scaccia, Luisa, 2015. "Urban freight, parking and pricing policies: An evaluation from a transport providers’ perspective," Transportation Research Part A: Policy and Practice, Elsevier, vol. 74(C), pages 239-249.
    20. Feo, María & Espino, Raquel & García, Leandro, 2011. "An stated preference analysis of Spanish freight forwarders modal choice on the south-west Europe Motorway of the Sea," Transport Policy, Elsevier, vol. 18(1), pages 60-67, January.
    21. Bliemer, Michiel C.J. & Rose, John M., 2013. "Confidence intervals of willingness-to-pay for random coefficient logit models," Transportation Research Part B: Methodological, Elsevier, vol. 58(C), pages 199-214.
    22. Astroza, Sebastian & Bhat, Prerna C. & Bhat, Chandra R. & Pendyala, Ram M. & Garikapati, Venu M., 2018. "Understanding activity engagement across weekdays and weekend days: A multivariate multiple discrete-continuous modeling approach," Journal of choice modelling, Elsevier, vol. 28(C), pages 56-70.
    23. Jäggi, Boris & Weis, Claude & Axhausen, Kay W., 2013. "Stated response and multiple discrete-continuous choice models: Analyses of residuals," Journal of choice modelling, Elsevier, vol. 6(C), pages 44-59.
    24. Abdelwahab, Walid M., 1998. "Elasticities of mode choice probabilities and market elasticities of demand: Evidence from a simultaneous mode choice/shipment-size freight transport model," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 34(4), pages 257-266, December.
    25. Shinghal, Nalin & Fowkes, Tony, 2002. "Freight mode choice and adaptive stated preferences," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 38(5), pages 367-378, September.
    26. Ahn, Jiwoon & Jeong, Gicheol & Kim, Yeonbae, 2008. "A forecast of household ownership and use of alternative fuel vehicles: A multiple discrete-continuous choice approach," Energy Economics, Elsevier, vol. 30(5), pages 2091-2104, September.
    27. Ko, Joonho & Kim, Daejin, 2017. "Employer-based travel demand management program: Employer’s choice and effectiveness," Transport Policy, Elsevier, vol. 59(C), pages 1-9.
    28. Gerard Jong & Inge Vierth & Lori Tavasszy & Moshe Ben-Akiva, 2013. "Recent developments in national and international freight transport models within Europe," Transportation, Springer, vol. 40(2), pages 347-371, February.
    29. Krinsky, Itzhak & Robb, A Leslie, 1990. "On Approximating the Statistical Properties of Elasticities: A Correction," The Review of Economics and Statistics, MIT Press, vol. 72(1), pages 189-190, February.
    30. Hanemann, W Michael, 1984. "Discrete-Continuous Models of Consumer Demand," Econometrica, Econometric Society, vol. 52(3), pages 541-561, May.
    31. Feo-Valero, María & García-Menéndez, Leandro & Sáez-Carramolino, Lorena & Furió-Pruñonosa, Salvador, 2011. "The importance of the inland leg of containerised maritime shipments: An analysis of modal choice determinants in Spain," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 47(4), pages 446-460, July.
    32. Joseph Chow & Choon Yang & Amelia Regan, 2010. "State-of-the art of freight forecast modeling: lessons learned and the road ahead," Transportation, Springer, vol. 37(6), pages 1011-1030, November.
    33. Dubin, Jeffrey A & McFadden, Daniel L, 1984. "An Econometric Analysis of Residential Electric Appliance Holdings and Consumption," Econometrica, Econometric Society, vol. 52(2), pages 345-362, March.
    34. Bhat, Chandra R., 2018. "A new flexible multiple discrete–continuous extreme value (MDCEV) choice model," Transportation Research Part B: Methodological, Elsevier, vol. 110(C), pages 261-279.
    35. Jian, Sisi & Rashidi, Taha Hossein & Dixit, Vinayak, 2017. "An analysis of carsharing vehicle choice and utilization patterns using multiple discrete-continuous extreme value (MDCEV) models," Transportation Research Part A: Policy and Practice, Elsevier, vol. 103(C), pages 362-376.
    36. repec:idb:brikps:publication-detail,7101.html?id=8491 is not listed on IDEAS
    37. Richards, Timothy J. & Gómez, Miguel I. & Pofahl, Geoffrey, 2012. "A Multiple-discrete/Continuous Model of Price Promotion," Journal of Retailing, Elsevier, vol. 88(2), pages 206-225.
    38. Mary R. Brooks & Valerie Trifts, 2008. "Short sea shipping in North America: understanding the requirements of Atlantic Canadian shippers," Maritime Policy & Management, Taylor & Francis Journals, vol. 35(2), pages 145-158, April.
    39. Woo, JongRoul & Choi, Jae Young & Shin, Jungwoo & Lee, Jongsu, 2014. "The effect of new media on consumer media usage: An empirical study in South Korea," Technological Forecasting and Social Change, Elsevier, vol. 89(C), pages 3-11.
    40. Cullinane, Kevin & Toy, Neal, 2000. "Identifying influential attributes in freight route/mode choice decisions: a content analysis," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 36(1), pages 41-53, March.
    41. Khandker Habib & Eric Miller, 2008. "Modelling daily activity program generation considering within-day and day-to-day dynamics in activity-travel behaviour," Transportation, Springer, vol. 35(4), pages 467-484, July.
    42. Bhat, Chandra R., 2008. "The multiple discrete-continuous extreme value (MDCEV) model: Role of utility function parameters, identification considerations, and model extensions," Transportation Research Part B: Methodological, Elsevier, vol. 42(3), pages 274-303, March.
    43. Biying, Yu & Zhang, Junyi & Fujiwara, Akimasa, 2012. "Analysis of the residential location choice and household energy consumption behavior by incorporating multiple self-selection effects," Energy Policy, Elsevier, vol. 46(C), pages 319-334.
    44. Bhat, Chandra R., 2005. "A multiple discrete-continuous extreme value model: formulation and application to discretionary time-use decisions," Transportation Research Part B: Methodological, Elsevier, vol. 39(8), pages 679-707, September.
    45. Annesha Enam & Karthik C. Konduri & Naveen Eluru & Srinath Ravulaparthy, 2018. "Relationship between well-being and daily time use of elderly: evidence from the disabilities and use of time survey," Transportation, Springer, vol. 45(6), pages 1783-1810, November.
    46. Yu, Haisheng & Zeng, Amy Z. & Zhao, Lindu, 2009. "Single or dual sourcing: decision-making in the presence of supply chain disruption risks," Omega, Elsevier, vol. 37(4), pages 788-800, August.
    47. Crastes dit Sourd, Romain & Zawojska, Ewa & Mahieu, Pierre-Alexandre & Louviere, Jordan, 2018. "Mitigating strategic misrepresentation of values in open-ended stated preference surveys by using negative reinforcement," Journal of choice modelling, Elsevier, vol. 28(C), pages 153-166.
    48. Papke, Leslie E & Wooldridge, Jeffrey M, 1996. "Econometric Methods for Fractional Response Variables with an Application to 401(K) Plan Participation Rates," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 11(6), pages 619-632, Nov.-Dec..
    49. Krinsky, Itzhak & Robb, A Leslie, 1986. "On Approximating the Statistical Properties of Elasticities," The Review of Economics and Statistics, MIT Press, vol. 68(4), pages 715-719, November.
    50. Taha Hossein Rashidi & Matthew J. Roorda, 2018. "A business establishment fleet ownership and composition model," Transportation, Springer, vol. 45(3), pages 971-987, May.
    51. Bhat, Chandra R. & Castro, Marisol & Pinjari, Abdul Rawoof, 2015. "Allowing for complementarity and rich substitution patterns in multiple discrete–continuous models," Transportation Research Part B: Methodological, Elsevier, vol. 81(P1), pages 59-77.
    52. De Jong, G. C., 1990. "An indirect utility model of car ownership and private car use," European Economic Review, Elsevier, vol. 34(5), pages 971-985, July.
    53. Kenneth Train, 2003. "Discrete Choice Methods with Simulation," Online economics textbooks, SUNY-Oswego, Department of Economics, number emetr2.
    54. Acharya, Bikram & Marhold, Klaus, 2019. "Determinants of household energy use and fuel switching behavior in Nepal," Energy, Elsevier, vol. 169(C), pages 1132-1138.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Cebeci, Merve Seher & Tapia, Rodrigo Javier & Kroesen, Maarten & de Bok, Michiel & Tavasszy, Lóránt, 2023. "The effect of trust on the choice for crowdshipping services," Transportation Research Part A: Policy and Practice, Elsevier, vol. 170(C).

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Tapia, Rodrigo J. & de Jong, Gerard & Larranaga, Ana M. & Bettella Cybis, Helena B., 2020. "Application of MDCEV to infrastructure planning in regional freight transport," Transportation Research Part A: Policy and Practice, Elsevier, vol. 133(C), pages 255-271.
    2. Tapia, Rodrigo Javier & dos Santos Senna, Luiz Afonso & Larranaga, Ana Margarita & Cybis, Helena Beatriz Bettella, 2019. "Joint mode and port choice for soy production in Buenos Aires province, Argentina," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 121(C), pages 100-118.
    3. Palma, David & Hess, Stephane, 2022. "Extending the Multiple Discrete Continuous (MDC) modelling framework to consider complementarity, substitution, and an unobserved budget," Transportation Research Part B: Methodological, Elsevier, vol. 161(C), pages 13-35.
    4. Bhat, Chandra R. & Mondal, Aupal & Asmussen, Katherine E. & Bhat, Aarti C., 2020. "A multiple discrete extreme value choice model with grouped consumption data and unobserved budgets," Transportation Research Part B: Methodological, Elsevier, vol. 141(C), pages 196-222.
    5. Arencibia, Ana Isabel & Feo-Valero, María & García-Menéndez, Leandro & Román, Concepción, 2015. "Modelling mode choice for freight transport using advanced choice experiments," Transportation Research Part A: Policy and Practice, Elsevier, vol. 75(C), pages 252-267.
    6. Pinjari, Abdul Rawoof & Bhat, Chandra, 2021. "Computationally efficient forecasting procedures for Kuhn-Tucker consumer demand model systems: Application to residential energy consumption analysis," Journal of choice modelling, Elsevier, vol. 39(C).
    7. Andrea Pellegrini & Igor Sarman & Rico Maggi, 2021. "Understanding tourists’ expenditure patterns: a stochastic frontier approach within the framework of multiple discrete–continuous choices," Transportation, Springer, vol. 48(2), pages 931-951, April.
    8. Jian, Sisi & Rashidi, Taha Hossein & Dixit, Vinayak, 2017. "An analysis of carsharing vehicle choice and utilization patterns using multiple discrete-continuous extreme value (MDCEV) models," Transportation Research Part A: Policy and Practice, Elsevier, vol. 103(C), pages 362-376.
    9. Sikder, Sujan & Pinjari, Abdul Rawoof, 2013. "The benefits of allowing heteroscedastic stochastic distributions in multiple discrete-continuous choice models," Journal of choice modelling, Elsevier, vol. 9(C), pages 39-56.
    10. Saxena, Shobhit & Pinjari, Abdul Rawoof & Paleti, Rajesh, 2022. "A multiple discrete-continuous extreme value model with ordered preferences (MDCEV-OP): Modelling framework for episode-level activity participation and time-use analysis," Transportation Research Part B: Methodological, Elsevier, vol. 166(C), pages 259-283.
    11. Bonnet, Céline & Richards, Timothy J., 2016. "Models of Consumer Demand for Differentiated Products," TSE Working Papers 16-741, Toulouse School of Economics (TSE).
    12. Acharya, Bikram & Marhold, Klaus, 2019. "Determinants of household energy use and fuel switching behavior in Nepal," Energy, Elsevier, vol. 169(C), pages 1132-1138.
    13. Leung, Kevin Y.K. & Astroza, Sebastian & Loo, Becky P.Y. & Bhat, Chandra R., 2019. "An environment-people interactions framework for analysing children's extra-curricular activities and active transport," Journal of Transport Geography, Elsevier, vol. 74(C), pages 341-358.
    14. Fang, Hao Audrey, 2008. "A discrete-continuous model of households' vehicle choice and usage, with an application to the effects of residential density," Transportation Research Part B: Methodological, Elsevier, vol. 42(9), pages 736-758, November.
    15. Pellegrini, Andrea & Pinjari, Abdul Rawoof & Maggi, Rico, 2021. "A multiple discrete continuous model of time use that accommodates non-additively separable utility functions along with time and monetary budget constraints," Transportation Research Part A: Policy and Practice, Elsevier, vol. 144(C), pages 37-53.
    16. Calastri, Chiara & Hess, Stephane & Daly, Andrew & Carrasco, Juan Antonio, 2017. "Does the social context help with understanding and predicting the choice of activity type and duration? An application of the Multiple Discrete-Continuous Nested Extreme Value model to activity diary," Transportation Research Part A: Policy and Practice, Elsevier, vol. 104(C), pages 1-20.
    17. Acharya, Bikram & Adhikari, Santosh, 2021. "Household energy consumption and adaptation behavior during crisis: Evidence from Indian economic blockade on Nepal," Energy Policy, Elsevier, vol. 148(PB).
    18. Guoqiang Wu & Jinhyun Hong & Piyushimita Thakuriah, 2022. "Investigating the temporal changes in the relationships between time spent on the internet and non-mandatory activity-travel time use," Transportation, Springer, vol. 49(1), pages 213-235, February.
    19. Kurtuluş, Ercan & Çetin, İsmail Bilge, 2020. "Analysis of modal shift potential towards intermodal transportation in short-distance inland container transport," Transport Policy, Elsevier, vol. 89(C), pages 24-37.
    20. Truschkin, Eugen & Elbert, Ralf, 2013. "Horizontal transshipment technologies as enablers of combined transport: Impact of transport policies on the modal split," Transportation Research Part A: Policy and Practice, Elsevier, vol. 49(C), pages 91-109.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:kap:netspa:v:21:y:2021:i:3:d:10.1007_s11067-021-09531-y. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Sonal Shukla or Springer Nature Abstracting and Indexing (email available below). General contact details of provider: http://www.springer.com .

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

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.