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on Transport Economics |
| By: | Ciliberto, Federico; Cook, Emily; Williams, Jonathan |
| Abstract: | We study the effect of consolidation on airline network connectivity using three measures of centrality from graph theory: Degree, Closeness, and Betweenness. Changes in these measures from 1990 to 2015 imply: i) the average airport services a greater proportion of possible routes, ii) the average origin airport is fewer stops away from any given destination, and iii) the average hub is less often along the shortest route between two other airports. Yet, we find the trend toward greater connectivity in the national network structure is largely unaffected by consolidation, in the form of mergers and codeshare agreements, during this period. |
| Keywords: | Network, Consolidation, Airline, Connectivity, Merger, Codesharing |
| JEL: | D85 L2 L4 L93 |
| Date: | 2017 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:83885&r=tre |
| By: | Xavier D'Haultfoeuille (CREST); Isis Durrmeyer (Toulouse School of Economics; Université Toulouse Capitole); Philippe Février (CREST) |
| Abstract: | In markets where sellers are able to price discriminate, individuals pay different prices that may be unobserved by the econometrician. This paper considers the structural estimation of a demand and supply model à la Berry et al. (1995) with such price discrimination and limited information on prices taking the form of, e.g., observing list prices from catalogues or average prices. Within this framework, identification is achieved by using supply-side conditions, provided that the marginal costs of producing and selling the goods do not depend on the characteristics of the buyers. The model can be estimated by GMM using a nested fixed point algorithm that extends BLP’s algorithm to our setting. We apply our methodology to estimate the demand and supply in the French new automobile market. Our results suggest that discounting arising from price discrimination is important. The average discount is estimated to be 9.6%, with large variation depending on buyers’ characteristics and cars’ specifications. Our results are consistent with other evidence on transaction prices in France. |
| Keywords: | demand and supply, unobserved transaction prices, price discrimination, automobiles. |
| JEL: | C51 D12 D22 |
| Date: | 2017–10–15 |
| URL: | http://d.repec.org/n?u=RePEc:crs:wpaper:2017-18&r=tre |
| By: | Philip Hemmings; Jagoda Egeland; Juan Garin |
| Abstract: | Norway makes substantial public investment in transport and this has intensified in recent years. There is potentially large economic benefit from such investment, particularly as good transport infrastructure can help Norway’s transition away from oil-related activities. However, realising these gains requires sound processes for selecting and delivering projects. This paper assesses the investment process from initial proposals through evaluation, discussion, selection, approval, implementation, and ex post evaluation. It finds that, although the policy process at each stage is clear, and the planning framework has central oversight, final choices of project are often sub-optimal. The paper identifies a need for stronger top-down influence in the planning process and more influence of economic-efficiency considerations in project selection. It also calls for efforts to broaden ex post assessment of transport investment projects and reduction in project delays. |
| Keywords: | cost-benefit analysis, ex-post assessment, project selection, transport investment |
| JEL: | R42 |
| Date: | 2018–02–19 |
| URL: | http://d.repec.org/n?u=RePEc:oec:ecoaaa:1458-en&r=tre |
| By: | Ben-Porath, Ronny; Bird, Daniel; Weisburd, Sarit |
| Abstract: | We study the problem faced by a car-leasing firm in the presence of both adverse selection and moral hazard. While the literature has primarily focused on the role of leasing in avoiding adverse selection and the role of an above market buyback price in this environment, we show how this result reverses when moral hazard concerns are severe. The key driver of this result is that a low buy back price can incentivize non-contractible investment. We test the model using a difference-in-differences technique to compare accident outcomes of individuals driving leased company vehicles in Israel before and after a tax change and differentiate between drivers by their probability of utilizing the buyback clause. Our analysis shows that once exiting the leasing cycle becomes a relevant option due to a 110 percent increase in the tax rate on company cars it decreases the at-fault accident rate by half an accident per year (s.e. 0.25) for relevant drivers. |
| Keywords: | Adverse Selection; buyback; leasing; moral hazard |
| JEL: | D4 D82 L91 |
| Date: | 2018–01 |
| URL: | http://d.repec.org/n?u=RePEc:cpr:ceprdp:12633&r=tre |
| By: | Valeriia Budiakivska (University of Pisa); Luca Casolaro (Bank of Italy) |
| Abstract: | Urban agglomerations, revealing the highest levels of productivity and growth, raise severe congestion problems. This issue can be mitigated by the construction of transport facilities allowing a higher centre-suburbs permeability. The returns of similar infrastructures are under debate, especially in cities characterized by huge artistic and urbanistic constraints. The purpose of this paper is to estimate the private and public benefits of a new tramline recently built in Florence. We apply the synthetic control method on metropolitan micro-zones in order to estimate the impact of the facility on house prices in the suburbs located close to the tram stops. We also estimate a hedonic pricing model on individual bids downloaded from a popular real estate agency. The results, coherent in both approaches, demonstrate that houses located in proximity to the new tram network register a price increase of 200-300 euros per square meter, the 7-10 per cent of the total value. The study also confirms the presence of public benefits related to the facility in terms of accidents reduction and improved air quality. |
| Keywords: | synthetic control, transport facility impact, house prices |
| JEL: | O18 L92 R41 R42 |
| Date: | 2018–01 |
| URL: | http://d.repec.org/n?u=RePEc:bdi:wptemi:td_1161_18&r=tre |
| By: | Carolin Fritzsche |
| Abstract: | This study analyzes the efficiency of the road provision of the local governments of eastern German counties using data envelopment analysis. The provision of roads is a costly public service, which makes an efficiency analysis in this field an interesting subject. I enhance the previous literature by first, examining the differences in the efficiency of eastern German counties; I consider the age of the foundations of roads, which previous studies have not considered due to data limitations. Second, I use a unique dataset on road quality for my efficiency analysis and show that efficiency levels differ from studies that apply proxies, such as the number of accidents, to analyze the quality of roads. These findings indicate there is a great need to develop suitable proxy variables to describe government services. Additional, I show that the correlations between efficiency levels and county characteristics vary greatly depending on the quality indicator used. |
| Keywords: | DEA, technical efficiency, public services, roads. |
| JEL: | H41 H72 R51 |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ifowps:_249&r=tre |
| By: | Yannick Perez (UP11 - Université Paris-Sud - Paris 11); Marc Petit (GeePs - Laboratoire Génie électrique et électronique de Paris - UP11 - Université Paris-Sud - Paris 11 - UPMC - Université Pierre et Marie Curie - Paris 6 - CentraleSupélec - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | A modular framework is used to analyze how Grid Integrated Vehicles (GIVs), i.e. bi-directional plug-in electric vehicles that are able to modulate their charging rate and have bi-directional capabilities, could be managed efficiently to deliver grid services for transmission operators and conversely, how these new services could be set aside by the design of the current rules in some regions. Based on a detailed analysis of the rules implemented by some representative TSOs, we discern two modules that gather the essential rules for GIV development: the rules towards aggregation of EVs, and the rules defining the payment scheme of the services provided by GIVs. We deduce an optimal combination among these rules that could define the ideal organization for GIVs. Finally, we confront this ideal TSO organization with the European guidelines under construction. |
| Keywords: | Electromobilité |
| Date: | 2016 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:hal-01424647&r=tre |
| By: | Megersa A. Abate; Panayotis Christidis |
| Keywords: | Transport - Airports and Air Services Transport - Transport Economics Policy & Planning |
| Date: | 2017–06 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wboper:28353&r=tre |
| By: | Alvaro Gomez Losada (European Commission - JRC) |
| Abstract: | The connected vehicles will generate huge amount of pervasive and real time data, at very high frequencies. This poses new challenges for Data science. How to analyse these data and how to address short-term and long-term storage are some of the key barriers to overcome. |
| Keywords: | data recording, digital technology, intelligent transport system, new technology, recording equipment, research report, road safety, road transport, satellite navigation, speed control, technical specification, technical standard, traffic control, transport regulations, vehicle. |
| Date: | 2017–12 |
| URL: | http://d.repec.org/n?u=RePEc:ipt:iptwpa:jrc108572&r=tre |
| By: | Candice Branchoux; Lin Fang; Yusuke Tateno (Macroeconomic Policy and Financing for Development Division, ESCAP) |
| Abstract: | This paper develops a framework to estimate infrastructure financing needs of the Asia-Pacific least developed countries (LDCs), landlocked developing countries (LLDCs) and small island developing States (SIDS) by 2030. The framework takes into account the financing needs to close existing infrastructure gaps, keep up with growing demands for new infrastructure, maintain existing infrastructure and mitigate the vulnerability of infrastructure to climate-related risks. Based on a panel of 71 developing economies from 1990 to 2015 and the application of unit costs to the level of physical infrastructure stock projected to 2030, the required resources are estimated to amount to 7.6% of GDP per annum on weighted average, which exceeds current levels of infrastructure funding of 5-7% of GDP. This indicates that existing sources of financing are insufficient to meet the large and growing needs of infrastructure financing in these economies. The paper finds that a large proportion of financing needs in LDCs and SIDS arises from the current infrastructure shortages, particularly in the transport and the energy sector, implying that provision of universal access to basic infrastructure services would require large outlays of resources. Results also suggest that LLDCs and some SIDS require over one-third of their spending to be allocated to maintenance and replacement of existing assets, while those in low-lying coastal areas face substantial long-run costs in improving infrastructure to mitigate climate change and protecting it against loss and damages caused by extreme weather events. |
| URL: | http://d.repec.org/n?u=RePEc:unt:wpmpdd:wp/17/02&r=tre |
| By: | Sophia Ying Li; Joe Mazur; Yongjoon Park; James W. Roberts; Andrew Sweeting; Jun Zhang |
| Abstract: | We estimate a model of service choice and price competition in airline markets, allowing for the carriers that provide nonstop service to be a selected subset of the carriers competing in the market. Our model can be estimated without an excessive computational burden and we use the estimated model to illustrate the effects of selection on equilibrium market structure and to show how accounting for selection can change predictions about post-merger market power and repositioning, in ways that are consistent with what has been observed after actual mergers, and possible merger remedies. |
| JEL: | C31 C35 C54 L13 L4 L93 |
| Date: | 2018–01 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:24214&r=tre |