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Value of Time Comparisons in the Presence of Unexpected Delay


  • Nebiyou Tilahun
  • David Levinson

    () (Nexus (Networks, Economics, and Urban Systems) Research Group, Department of Civil Engineering, University of Minnesota)


This study estimates Value of Time differences between people who arrived at their destination as planned and those that were delayed. The analysis is based on the I-394 MnPASS High Occupancy/Toll (HOT) lane project recently implemented in the Minneapolis/St. Paul region. Using a Stated Preference survey, the individuals are asked about a trip they have taken before, and asked if they would opt for the free route or pay and go on the HOT lanes. The analysis groups the travelers into subscribers and non-subscribers of the MnPASS (electronic toll collection transponder) system and further decomposes choices into categories based on trip time and experience (delayed or not). Trip times were divided into morning peak, afternoon peak, and off peak and trip experience was divided into delayed and not delayed, creating six categories. The findings suggest an increased willingness to pay among subscribers who were late to reduce travel time in the PM rush hour. As well, we find some evidence that individuals who were late during the AM peak have a lower VOT as compared to their on-time counterparts.

Suggested Citation

  • Nebiyou Tilahun & David Levinson, 2005. "Value of Time Comparisons in the Presence of Unexpected Delay," Working Papers 000021, University of Minnesota: Nexus Research Group.
  • Handle: RePEc:nex:wpaper:unexpecteddelay

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    File Function: First version, 2007
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    References listed on IDEAS

    1. Brownstone, David & Small, Kenneth A., 2005. "Valuing time and reliability: assessing the evidence from road pricing demonstrations," Transportation Research Part A: Policy and Practice, Elsevier, vol. 39(4), pages 279-293, May.
    2. Noland, Robert B. & Small, Kenneth A. & Koskenoja, Pia Maria & Chu, Xuehao, 1998. "Simulating travel reliability," Regional Science and Urban Economics, Elsevier, vol. 28(5), pages 535-564, September.
    3. Small, Kenneth A, 1982. "The Scheduling of Consumer Activities: Work Trips," American Economic Review, American Economic Association, vol. 72(3), pages 467-479, June.
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    More about this item


    Travel time reliability; Stated preference; delay; high occupancy vehicle; high occupancy toll lane;

    JEL classification:

    • R40 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - General
    • R48 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Government Pricing and Policy
    • D10 - Microeconomics - - Household Behavior - - - General
    • D8 - Microeconomics - - Information, Knowledge, and Uncertainty


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