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on Transport Economics |
| By: | Prateek Bansal; Akanksha Sinha; Rubal Dua; Ricardo Daziano |
| Abstract: | Transportation Network Companies (TNCs) are changing the transportation ecosystem, but micro-decisions of drivers and users need to be better understood to assess the system-level impacts of TNCs. In this regard, we contribute to the literature by estimating a) individuals' preferences of being a rider, a driver, or a non-user of TNC services; b) preferences of ridehailing users for ridepooling; c) TNC drivers' choice to switch to vehicles with better fuel economy, and also d) the drivers' decision to buy, rent or lease new vehicles with driving for TNCs being a major consideration. Elicitation of drivers' preferences using a unique sample (N=11,902) of the U.S. population residing in TNC-served areas is the key feature of this study. The statistical analysis indicates that ridehailing services are mainly attracting personal vehicle users as riders, without substantially affecting demand for transit. Moreover, around 10% of ridehailing users reported postponing the purchase of a new car due to the availability of TNC services. The model estimation results indicate that the likelihood of being a TNC user increases with the increase in age for someone younger than 44 years, but the pattern is reversed post 44 years. This change in direction of the marginal effect of age is insightful as the previous studies have reported a negative association. We also find that postgraduate drivers who live in metropolitan regions are more likely to switch to fuel-efficient vehicles. These findings would inform transportation planners and TNCs in developing policies to improve the fuel economy of the fleet. |
| Date: | 2019–04 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:1904.06695&r=all |
| By: | Wang, Weidi |
| Abstract: | In 2017, China's online e-commerce sales has already reached 29.16 trillion Yuan. While gaining huge benefits, it also poses great challenges for each industry. One of the biggest challenge is the change of sales channels. Of course, there are also huge opportunities between them. Among them, it is a huge impact on the perishable products industry such as the airline industry and the hotel industry. Because of the perishable of the product, both hotels and airlines want to be able to sell the product for a limited period of time and gain considerable benefits. Therefore, at the beginning of the industry, airlines and hotels hoped to sell their products through more channels and attracted channels to sell products by paying their commission fee. With the rapid development of e-commerce, more and more online channels are replacing traditional offline channels. The change of channels has brought great challenges to airline management and costs. For example, although online channels absorb more customer demand, the commission costs of airlines have increased significantly. In addition to the cost pressures imposed on airlines, the increase in channels has brought conflicts between channels and between channels and airlines. Some of the channels' behaviour has caused great losses to the airlines. For example: change the condition of retreat fee, increase ticket or room price, maliciously reduce the price to compete with the airline and so on. These behaviours have affected the airline's reputation and have also brought losses to the airlines. In order to deal with the challenges of online agents, the airline has also taken some corresponding measures, such as the opening of online direct marketing websites, direct sales APP and so on. However, the effect has not been very good and it is difficult to compete with online agents who have customer volume. At the same time, we also see that the airline industry and hotels are also facing great competitive pressure. For example, the high-speed rail increases the competitive of civil transport markets. High-speed trains generally have higher on-time rates than aircraft and also high-speed rail stations are generally more convenient for customers in the city. Therefore, for passengers, high-speed rail has advantages in short trips. In addition, the emergence of low-cost airlines has also intensified competition in the civil aviation industry such as China's Spring Airlines, Europe's Easyjet and Ryanair. Therefore, recently reducing channel distribution costs has been concerned for many airlines which are facing fierce competition in airline markets. In a long period since the 1970s, capacity control has always played a pivotal role in defining airlines market strategy. However, when airlines select distribution channels and make capacity allocation decisions, they still separately make different decisions. Hence, when a customer purchases a ticket from a channel with an appropriate fare class, the channel might not be an optimal channel from the airlines' perspective. When the airline sells a ticket in a right channel, the ticket price is probably not a right fare. Therefore, how to establish a better channel and fare class capacity control model has become the key for airlines to increase revenue. This thesis is a study based on the above issues. The main work includes the following aspects: At first, we studied the single-leg capacity allocation problem that considers the channel factor. Although the network revenue management has a lot of academic research and has been applied in international routes, for many domestic routes airlines still basically use single-leg revenue management system. In addition, from the historical development of revenue management, the single-leg revenue management model is the basic model of all revenue management models. Therefore, it is important to first establish a single-leg revenue management model that considers the channel issues. In this study, we will integrate channel distribution into dynamic capacity control model. The model can make channel decisions in conjunction with inventory and this is similar to the procedure shown in pure capacity allocation. The study has proposed an optimal policy basing on bid price that incorporates commission fee, price, and capacity. The numerical experiment results illustrate that introducing the channel distribution into airline revenue system can significantly improve the revenues and efficiently reduce the channel distribution cost for airlines. The numerical experiments demonstrate that airline revenues will increase more than 3% in a simple integrated system with two channels compared to the independent model. This study also analyses the reasons for improvements in different situations (such as multi-channels have better improvements than a single-channel and the model has a better match of channels and fare classes) so that management insights are obtained for airlines. Secondly, we analyse customer demand behaviours and we find that customers will experience demand transfer behaviours when facing channels. In the Internet age, due to more transparent information, the customer's transfer behaviour has been continuously expanded. For customers, the transfer of channels is more likely to occur than the transfer of fare classes because they do not need to pay for it. Therefore, it is necessary to establish a better revenue management model to consider the customer's channel transfer behaviour.In this part, we added customer channel transfer behaviour based on the original single-leg dynamic capacity allocation model that considers channel issues. We also developed the optimal policy for this model and made some numerical experiments. The numerical experiments demonstrate that the customer shift behaviour can influence the results of the model and subsequently the decisions of airlines. In the general numerical result, the new model can increase 1.23% than the above channel model. At the same time, through the analysis of the results, the airlines are provided with corresponding suggestions to face the customer's choice behaviour. For example, the airline needs to increase the customer's transfer rate through some methods, such as joining a price comparison network and increasing policy incentives. Thirdly, on the base of single-leg model, we propose a new network dynamic model to integrate network revenue management and channel distribution. To take a network structure airline, the airlines can make more revenue benefits comparing the single-leg method. Although the network dynamic model can make more improvements, the exact optimization is impossible for practical purposes because of the curse of dimensionality. Therefore, we use determined linear programming method for approximating to dynamic model. The numerical experiments demonstrate that the airline revenues can increase more than 3% in a simple network when the commission rate is 15% compared to the traditional network model. In addition to the above studies, the paper also summarizes the original literature on revenue management and channel issues and proposes future research directions. |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:dar:wpaper:112361&r=all |
| By: | Francis Ostermeijer (Vrije Universiteit Amsterdam); Hans Koster (Vrije Universiteit Amsterdam, National Research University); Jos van Ommeren (Vrije Universiteit Amsterdam) |
| Abstract: | Residents are often offered on-street parking at a fraction of the market price which may cause excess car ownership. However, residential parking costs are difficult to observe, so we propose an approach to estimate implicit residential parking costs and then examine the effect of these costs on household car ownership. We apply our approach to the four largest metropolitan areas of the Netherlands. Our results indicate that for city centres, annual residential parking costs are around €1000, or roughly 17 percent of car ownership costs. Households facing a one standard deviation (€503) increase in annual parking costs own 0.085 fewer cars on average, corresponding to a price elasticity of car demand of about -0.7. We apply these estimates to gauge the impact of raising residential parking costs and the potential implications of automated vehicles. |
| Keywords: | Residential parking cost, car ownership, semi-parametric regression |
| JEL: | H23 R41 R48 |
| URL: | http://d.repec.org/n?u=RePEc:tin:wpaper:20190020&r=all |
| By: | Witcover, Julie; Murphy, Colin |
| Abstract: | Highlights As part of the state’s overall strategy to reduce greenhouse gas (GHG) emissions, Oregon’s Clean Fuels Program (CFP)  aims to reduce transportation sector emissions by incentivizing innovation, technological development, and deployment of low-emission alternative fuels and vehicles. It is designed as a performance standard, rather than a prescriptive approach to emissions reduction. It sets an annual declining target in fuel carbon intensity (CI) with a goal of 10% reduction by 2025 relative to 2015 levels. The CFP has been in effect for three years, with relatively small but growing CI reduction targets of 0.25% in 2016, 0.5% in 2017, and 1.0% in 2018, with a 2019 CI target of 1.5%. The CFP had 163 registered parties and 283 transportation fuel pathways available for use as of the end of 2018. From 2016 through 2018 Q3, total emissions reduction requirements were 3 million metric tons (MMT) CO2e and reported emissions reductions were 1.8 MMT CO2e, representing overcompliance of over 421,000 tons CO2e and creating a systemwide “bank†of program credits (each representing 1 MT CO2e) that can be used to meet future targets. The program generated excess credits relative to deficits in every quarter through 2017. Data for 2018 lacked residential electricity credits at the time of writing. Without those, 2018 deficits exceeded credits by under 1,700, well below the 30,000 credits generated by residential electricity in 2017 Q1–Q3, and the about 29,000 credits for the same category that would be generated under 2018 standards given the same energy. Aggregate alternative fuel energy consumption remained approximately stable over the program period—the program’s operation thus far. Ethanol contributed the largest share of alternative fuel and remained between 10% and 11% by volume of blended gasoline, at or just above the “blendwall†of 10% blends, through the period. Between 2016 and 2017, the only two years of complete data, transport energy from fossil natural gas, biogas, propane, and non-residential electricity each grew by over 50%, and from biodiesel grew by over 7%. The average annual CI rating for most reported alternative fuels declined between 2016 and 2018 through Q3, including the biggest volume contributors, ethanol (just under 1.5% decline) and biodiesel (just over 17% decline). Prices of CFP compliance credits (each representing 1 MT CO2e) remained in the $40–$50 range through 2016 and 2017. The yearly average increased to $84 in 2018 as volumes traded also rose. Data through March 2019 indicate an average price around $145. Oregon’s CFP shares some design similarities with California’s Low Carbon Fuel Standard (LCFS), but also has some differences in terms of program targets and baseline fuel blends, treatment of indirect land use change, residential electricity for electric-vehicle (EV) charging, and other credit generation and credit market elements. The programs, along with a similar policy in British Columbia, are part of the Pacific Coast Collaborative commitment to low carbon fuels and economies among these jurisdictions. Washington state is currently considering a similar clean fuel standard as part of its legislative process. |
| Keywords: | Engineering, Social and Behavioral Sciences, transportation, greenhouse gas emissions, sustainability, fuel policy |
| Date: | 2019–04–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:qt0ct4m7gs&r=all |
| By: | Dorothée Brécard (LEAD - Laboratoire d'Économie Appliquée au Développement - UTLN - Université de Toulon); Rémy Le Boennec (Institut VEDECOM, LGI - Laboratoire Génie Industriel - EA 2606 - CentraleSupélec); Frédéric Salladarré (CREM - Centre de recherche en économie et management - UNICAEN - Université de Caen Normandie - NU - Normandie Université - UR1 - Université de Rennes 1 - UNIV-RENNES - Université de Rennes - CNRS - Centre National de la Recherche Scientifique, LEMNA - Laboratoire d'économie et de management de Nantes Atlantique - IEMN-IAE Nantes - Institut d'Économie et de Management de Nantes - Institut d'Administration des Entreprises - Nantes - UN - Université de Nantes - IUML - FR 3473 Institut universitaire Mer et Littoral - UM - Le Mans Université - UA - Université d'Angers - UN - Université de Nantes - ECN - École Centrale de Nantes - UBS - Université de Bretagne Sud - IFREMER - Institut Français de Recherche pour l'Exploitation de la Mer - CNRS - Centre National de la Recherche Scientifique) |
| Abstract: | In this empirical article, we analyze the extent to which accessibility and environmental variables are capitalized in apartment prices in Nantes Métropole, France. Using a sample of 5,590 transactions in 2002, 2006, 2008 from the Perval database, we estimate a spatial hedonic price model that takes into account spatial autocorrelation and spatial heterogeneity. Special attention is also paid to the construction of environmental quality variables (noise exposure , air pollution). We find that apartment prices depend positively on proximity to Nantes city centre but that the public transport network (urban or non-urban) has no significant influence. Noise reduction is valued, but only at low or marginal levels of significance. Last, air quality does not significantly influence apartment prices. These results can be related to good accessibility and environmental quality in Nantes Métropole which probably makes households less sensitive to these issues than in other geographical contexts. This seems to provide little support for sustainable urban mobility plans favoring better accessibility, unless public authorities also target the greater awareness of the use of virtuous modes of transport. |
| Keywords: | spatial econometrics,hedonic price model,accessibility,air quality,noise exposure |
| Date: | 2018 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:halshs-02090532&r=all |
| By: | L. (Lisa B.) Ryan; Sarah La Monaca |
| Abstract: | Electrification of vehicle fleets, particularly in countries with increasing shares of renewable electricity supply, represents an important pathway toward low-carbon mobility. This report examines the role of electric vehicle (EV) charging infrastructure as a key enabler for EV uptake, and explores business models and policy approaches for promoting deployment. It then applies observed key principles to assess the Irish EV charging services market and identifies key recommendations for Irish policy. |
| Keywords: | Electric vehicles (EV); Low-carbon mobility; Irish policy |
| Date: | 2018–11 |
| URL: | http://d.repec.org/n?u=RePEc:ucn:oapubs:10197/9912&r=all |
| By: | Seiffert, Sebastian |
| Abstract: | This paper addresses the question whether or not large-scale infrastructure investments have a causal effect of local economic development. By using a novel instrumental variable approach based on historical trade and travel routes across the Russian East, I am able to identify a causal and negative effect of remoteness to the Transsiberian Railway on local economic activity as measured by nocturnal lights emission. |
| Keywords: | Transport Costs,Railway,Russia,Nightlights,Regional Economics,Development |
| JEL: | O11 O18 R11 R40 |
| Date: | 2019 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:hohdps:022019&r=all |
| By: | OECD |
| Abstract: | This report, part of the “Cities” collection, analyses road accessibility, transport corridors and checkpoints set up in border towns in West Africa. An innovative model shows that the population base of border towns could be 14% greater if there were no delays at border crossings. The existence of roadside checks decreases the size of this population base from 12 to 50%. A study of 59 jointly planned or operated border posts in sub-Saharan Africa shows that trade facilitation runs up against the special interests of public servants and private-sector actors making a living from regional integration frictions.Also in this Collection: “Regional Integration in Border Cities”, No. 20 “Population and Morphology of Border Cities”, No. 21 “Businesses and Health in Border Cities”, No. 22 |
| Keywords: | border posts, infrastructure, regional trade, road accessibility, transport corridors, urban networks |
| JEL: | O18 O21 R41 R42 |
| Date: | 2019–04–18 |
| URL: | http://d.repec.org/n?u=RePEc:oec:swacaa:23-en&r=all |
| By: | Paul J.J. Welfens (Europäisches Institut für Internationale Wirtschaftsbeziehungen (EIIW)); Nan Yu (Europäisches Institut für Internationale Wirtschaftsbeziehungen (EIIW)); David Hanrahan (Europäisches Institut für Internationale Wirtschaftsbeziehungen (EIIW)); Benedikt Schmuelling (Lehrstuhl für Elektromobilität und Energiespeichersysteme (EES), Bergische Universität Wuppertal); Heiko Fechtner (Lehrstuhl für Elektromobilität und Energiespeichersysteme (EES), Bergische Universität Wuppertal) |
| Abstract: | The analysis provides a hybrid techno-economic perspective on EU and China e-bus development dynamics. China is a leading global electric bus user – particularly in certain provinces. In Europe, the European Commission has started an electric bus initiative and several EU member countries have tried to achieve progress with regard to their own municipal e-bus fleets. While the economic analysis shows that e-bus innovation and diffusion dynamics can be influenced by government procurement policy, it is also obvious that certain pricing schemes in e-bus (mixed) municipal mobility networks are not successfully promoting clean e-bus expansion. A key issue is that various grant schemes depress the prices for used e-buses which in turn creates additional risk for e-bus leasing arrangements. Industrial policy aspects as well innovation policy face challenges in the e-bus context. China’s regional e-bus approaches have shown considerable success and part of China’s patent dynamics supports e-bus expansion perspectives. From a technological perspective, there are several alternative modes of e-bus mobility whose technological and economic advantages have to be explored in the context of the characteristics of local and regional bus routes. A very important technological element of e-mobility concerns technical aspects of battery charging – for example, cycle lifetime, power density, charging time and safety. The price dynamics of battery packs is rather high and should stimulate the expansion of e-bus mobility in Europe and China. One key problem faced by Europe and Asia is the challenge of common technical standards. As regards Germany’s and the UK’s position as a potential lead markets for e-bus mobility – or a similar positioning of a network of EU cities – much depends on adequate new policy initiatives. The emissions reductions which could be achieved by transitioning to 100% e-bus mobility in the EU would amount to an estimated 1.3% cut in terms of emissions of the transport sector (without aviation). |
| Keywords: | Sustainability, municipal transportation, e-bus, technology, EU, China |
| JEL: | N74 N75 Q55 Q56 R4 |
| Date: | 2018–12 |
| URL: | http://d.repec.org/n?u=RePEc:bwu:eiiwdp:disbei255&r=all |
| By: | OCDE |
| Abstract: | Cette Note qui fait partie de la Collection « Villes », analyse l’accessibilité routière, les corridors de transport et les postes de contrôle uniques mis en place dans les villes frontalières d’Afrique de l’Ouest. Un modèle inédit montre que le bassin de population des villes frontalières pourrait être 14 % plus important sans attente aux frontières. L’existence de contrôles routiers diminue de 12 à 50 % ce bassin de population. Une étude des 59 postes de contrôle d’Afrique subsaharienne montre ensuite que la facilitation du commerce se heurte aux intérêts des fonctionnaires et des acteurs privés vivant des frictions de l’intégration régionale.Aussi dans cette Collection : « Intégration régionale des villes frontalières », No 20 « Population et morphologies des villes frontalières », No 21 « Entreprises et santé dans les villes frontalières », No 22 |
| Keywords: | accessibilité routière, commerce régional, corridors de transport, infrastructures, postes frontières, réseaux urbains |
| JEL: | O18 O21 R41 R42 |
| Date: | 2019–04–18 |
| URL: | http://d.repec.org/n?u=RePEc:oec:swacab:23-fr&r=all |
| By: | L. (Lisa B.) Ryan; Andrew J. Kelly; Ivan Petrov; Yulu Guo; Sarah La Monaca |
| Abstract: | Building on COM/ENV/EPOC/CTPA/CFA/RD(2018)1, this document presents a social cost-benefit analysis of reforms in the motor vehicle taxes in Ireland since 2008. |
| Keywords: | Social cost-benefit analysis; Reforms in motor vehicle taxes; Ireland |
| Date: | 2018–11 |
| URL: | http://d.repec.org/n?u=RePEc:ucn:oapubs:com/env/epoc/ctpa/cfa(2018)6&r=all |
| By: | Aisling J. Reynolds-Feighan |
| Abstract: | This paper describes the evolution of the four largest airlines in the U.S. domestic market and focuses on the relationships between the mainline airlines and sets of regional airlines that provide feeder services through contract arrangements. The paper traces the series of mergers occurring over the last 20 years that have resulted in the current industry structures and organization and shows the dominance of the top four carriers directly as well as through their relationships with the main regional airlines. The current structure reflects the impact of different types of contractual arrangements and agreements that have shaped relationships between large numbers of airlines in the domestic U.S. market since deregulation in 1978. The paper sets out the rationale for entering into these agreements, the nature of the relationships and the stages of development of current carrier arrangements. A number of public policy issues are highlighted. |
| Keywords: | Relationships of mainline and regional airlines; Airline dominance; U.S. market; Airline partnerships |
| Date: | 2018–11 |
| URL: | http://d.repec.org/n?u=RePEc:ucn:oapubs:10197/9910&r=all |
| By: | Muehlegger, Eric; Rapson, David |
| Keywords: | Social and Behavioral Sciences |
| Date: | 2019–04–17 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:qt5fm8n2fx&r=all |
| By: | Fitch, Dillon PhD |
| Keywords: | Engineering |
| Date: | 2019–04–01 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:qt3mm040km&r=all |
| By: | Prateek Bansal; Yang Liu; Ricardo Daziano; Samitha Samaranayake |
| Abstract: | We formalize one aspect of reliability in the context of Mobility-on-Demand (MoD) systems by acknowledging the uncertainty in the pick-up time of these services. This study answers two key questions: i) how the difference between the stated and actual pick-up times affect the propensity of a passenger to choose an MoD service? ii) how an MoD service provider can leverage this information to increase its ridership? We conduct a discrete choice experiment in New York to answer the former question and adopt a micro-simulation-based optimization method to answer the latter question. In our experiments, the ridership of an MoD service could be increased by up to 10\% via displaying the predicted wait time strategically. |
| Date: | 2019–04 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:1904.07987&r=all |
| By: | OECD |
| Abstract: | Good quality and sustainable infrastructure that meets the needs of women, men, children, minorities, people with disabilities and other vulnerable groups is essential for human well-being, economic growth and environmental sustainability. This Policy Paper shows how women and men may use infrastructure differently according to their needs, social roles or preferences. Building on OECD policy tools and several axes of work, it provides a framework to help countries align their infrastructure policies and projects with other societal and environmental goals, including supporting gender equality. |
| Date: | 2019–04–17 |
| URL: | http://d.repec.org/n?u=RePEc:oec:envaac:15-en&r=all |