IDEAS home Printed from https://ideas.repec.org/p/aoz/wpaper/74.html

Measuring long-run price elasticities in urban travel demand

Author

Listed:
  • Javier Donna

    (University of Florida)

Abstract

This paper develops a structural model of urban travel to estimate long-run price elasticities. A dynamic discrete choice demand model with switching costs is estimated, using a panel dataset with public market-level data on automobile and public transit use for Chicago. The estimated model shows that long-run own- (automobile) and cross (transit) price elasticities are more elastic than short-run elasticities, and that elasticity estimates from static and myopic models are downward biased. The estimated model isused to evaluate the response to a gasoline tax. Static and myopic models mismeasure long-run substitution patterns, and could lead to incorrect policy decisions.

Suggested Citation

  • Javier Donna, 2021. "Measuring long-run price elasticities in urban travel demand," Working Papers 74, Red Nacional de Investigadores en Economía (RedNIE).
    • Handle: RePEc:aoz:wpaper:74
    as

    Download full text from publisher

    File URL: https://rednie.eco.unc.edu.ar/files/DT/74.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    Citations

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


    Cited by:

    1. Matthias Beestermöller & Levke Jessen-Thiesen & Alexander Sandkamp & Alexander-Nikolai Sandkamp, 2023. "Striking Evidence: The Impact of Railway Strikes on Competition from Intercity Bus Services in Germany," CESifo Working Paper Series 10483, CESifo.
    2. Carolyn Fischer & Grant D. Jacobsen, 2021. "The Green New Deal And The Future Of Carbon Pricing," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 40(3), pages 988-995, June.
    3. Javier D. Donna & Pedro Pereira, 2024. "Structural Presumptions for Non-horizontal Mergers in the 2023 Merger Guidelines: A Primer and a Path Forward," Review of Industrial Organization, Springer;The Industrial Organization Society, vol. 65(1), pages 303-345, August.
    4. Fournier, Nicholas PhD & Patire, Anthony PhD & Skabardonis, Alexander PhD, 2023. "A Futures Market for Demand Responsive Travel Pricing," Institute of Transportation Studies, Research Reports, Working Papers, Proceedings qt6g34r2mx, Institute of Transportation Studies, UC Berkeley.
    5. Johannes Mauritzen, 2023. "With great power (prices) comes great tail pipe emissions? \\ A natural experiment of electricity prices and electric car adoption," Papers 2304.01709, arXiv.org.

    More about this item

    Keywords

    ;
    ;
    ;

    JEL classification:

    • L71 - Industrial Organization - - Industry Studies: Primary Products and Construction - - - Mining, Extraction, and Refining: Hydrocarbon Fuels
    • L91 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Transportation: General
    • L98 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Government Policy

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    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:aoz:wpaper:74. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: Laura Inés D Amato (email available below). General contact details of provider: https://edirc.repec.org/data/redniar.html .

    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.