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Private vs. Business and Rail vs. Air Passengers: Willingness to pay for Transport Attributes

Author

Listed:
  • Carlsson, Fredrik

    () (Department of Economics, School of Economics and Commercial Law, Göteborg University)

Abstract

Using a stated preference survey on passengers travelling by rail or air between the two largest cities in Sweden, we investigate passenger's willingness to pay for improvements of different attributes of the transport modes. We find that both private and business passengers put a substantial value on improvements of the environmental impact from both rail and air. In general, private passengers have much lower fare equivalents for the attribute, which is explained by the fact that business passengers do not pay for the trips themselves. Further, air passengers have higher fare equivalents than what rail passengers have for both rail and air attributes.

Suggested Citation

  • Carlsson, Fredrik, 1999. "Private vs. Business and Rail vs. Air Passengers: Willingness to pay for Transport Attributes," Working Papers in Economics 14, University of Gothenburg, Department of Economics.
  • Handle: RePEc:hhs:gunwpe:0014
    as

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    More about this item

    Keywords

    Valuation of attributes; Intercity transport; Random parameter logit;

    JEL classification:

    • C25 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions; Probabilities
    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise

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