nep-dcm New Economics Papers
on Discrete Choice Models
Issue of 2018‒01‒22
three papers chosen by
Edoardo Marcucci
Università degli studi Roma Tre

  1. Who are bike sharing schemes members and do they travel differently? The case of Lyon’s “Velo’v” scheme By Charles Raux; Ayman Zoubir; Mirkan Geyik
  2. Disentangling the effects of policy and payment consequentiality and risk attitudes on stated preferences By Ewa Zawojska; Anna Bartczak; Mikołaj Czajkowski
  3. Solving Dynamic Discrete Choice Models: Integrated or Expected Value Function? By Patrick Kofod Mogensen

  1. By: Charles Raux (LAET - Laboratoire Aménagement Économie Transports - UL2 - Université Lumière - Lyon 2 - ENTPE - École Nationale des Travaux Publics de l'État - CNRS - Centre National de la Recherche Scientifique); Ayman Zoubir (LAET - Laboratoire Aménagement Économie Transports - UL2 - Université Lumière - Lyon 2 - ENTPE - École Nationale des Travaux Publics de l'État - CNRS - Centre National de la Recherche Scientifique); Mirkan Geyik (LAET - Laboratoire Aménagement Économie Transports - UL2 - Université Lumière - Lyon 2 - ENTPE - École Nationale des Travaux Publics de l'État - CNRS - Centre National de la Recherche Scientifique)
    Abstract: This paper analyzes the socio-demographic profile and travel behavior of the " Velo'v " bike-sharing scheme annual members in Lyon (France). This scheme started in 2005 and has now around 350 stations and 4500 bikes in operation, with more than 50,000 annual members. By the means of an Internet-based survey more than 3,000 respondents were described by their detailed socio-demographic profile, their travel means and habits, a one-day activity-travel diary and additionally a seven days activity-travel diary filled by around 700 volunteers. By this way the survey covers all travel modes and day-today variations in travel behavior beyond the sole use of shared bike. We analyze with a discrete choice model the socio-demographic and spatial factors affecting the probability of being an annual member of the Velo'v scheme. Then we compare with descriptive statistics their daily travel behavior involving as well bike sharing as other traditional modes to the travel behavior of the general population as given with the latest Household Travel Survey available in the Lyon area (2015). The majority of Velo'v annual members are male, younger and hold higher social positions when compared with the Lyon's general population. An individual higher social position and the residential proximity to stations have both separate and positive effects on the probability of being an annual member of the service. Velo'v members are not captive from public transport, a majority of them have access to a car and they are fully multimodal in their day-today travel behavior. Velo'v bikes are used by them for any activity, not necessarily every day, like any other travel mode. The multimodal behavior of Velo'v members shows that Velo'v supply fits especially a demand not satisfied when the public transport station is too distant from home.
    Keywords: bike-sharing,Lyon,annual membership,discrete choice model,one week travel diary
    Date: 2017–12
  2. By: Ewa Zawojska (Faculty of Economic Sciences, University of Warsaw); Anna Bartczak (Faculty of Economic Sciences, University of Warsaw); Mikołaj Czajkowski (Faculty of Economic Sciences, University of Warsaw)
    Abstract: Incentivising respondents to truthfully reveal their preferences in stated preference surveys requires that they believe their survey responses can influence decisions related to the outcome in question (policy consequentiality) and that they will have to bear their share of coercive cost if the outcome is implemented (payment consequentiality). We investigate the effects of these two aspects of consequentiality on stated preferences in a field survey concerning renewable energy development in Poland. We find that beliefs in policy and payment consequentiality strengthen respondents’ interest in having the project implemented, but policy consequentiality decreases, while payment consequentiality increases their sensitivity to the project cost, thus increasing or decreasing their willingness to pay, respectively. We conclude that the two components of consequentiality should be addressed separately in stated preference studies. Additionally, we inquire the theoretically speculated links between respondents’ perceptions about policy and payment consequentiality and their risk attitudes, finding no significant relationship.
    Keywords: stated preferences, discrete choice experiment, policy consequentiality, payment consequentiality, risk attitudes, renewable energy
    JEL: Q51 Q48 D12 D81 H41
    Date: 2018
  3. By: Patrick Kofod Mogensen
    Abstract: Dynamic Discrete Choice Models (DDCMs) are important in the structural estimation literature. Since the structural errors are practically always continuous and unbounded in nature, researchers often use the expected value function. The idea to solve for the expected value function made solution more practical and estimation feasible. However, as we show in this paper, the expected value function is impractical compared to an alternative: the integrated (ex ante) value function. We provide brief descriptions of the inefficacy of the former, and benchmarks on actual problems with varying cardinality of the state space and number of decisions. Though the two approaches solve the same problem in theory, the benchmarks support the claim that the integrated value function is preferred in practice.
    Date: 2018–01

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