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on Transport Economics |
| By: | Berliant, Marcus |
| Abstract: | Workers generally commute on a daily basis, so we model commuting as a repeated game. The folk theorem implies that for sufficiently large discount factors, the repeated commuting game has as a Nash equilibrium any feasible strategy that is uniformly better than the minimax strategy payoff for a commuter in the one shot game, repeated over the infinite horizon. This includes the efficient equilibria. An example where the efficient payoffs strictly dominate the one shot Nash equilibrium payoffs is provided. Our conclusions pose a challenge to congestion pricing in that equilibrium selection could be at least as effective in improving welfare. We examine evidence from St. Louis to determine what equilibrium strategies are actually played in the repeated commuting game. |
| Keywords: | Repeated game; Nash equilibrium; Commuting; Folk theorem |
| JEL: | R41 |
| Date: | 2023–12–11 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:119442&r=tre |
| By: | B. F. Oliveira; A. V. M Oliveira |
| Abstract: | This paper describes an econometric model of the Brazilian domestic carrier Azul Airlines' network construction. We employed a discrete-choice framework of airline route entry to examine the effects of the merger of another regional carrier, Trip Airlines, with Azul in 2012, especially on its entry decisions. We contrasted the estimated entry determinants before and after the merger with the benchmarks of the US carriers JetBlue Airways and Southwest Airlines obtained from the literature, and proposed a methodology for comparing different airline entry patterns by utilizing the kappa statistic for interrater agreement. Our empirical results indicate a statistically significant agreement between raters of Azul and JetBlue, but not Southwest, and only for entries on previously existing routes during the pre-merger period. The results suggest that post-merger, Azul has adopted a more idiosyncratic entry pattern, focusing on the regional flights segment to conquer many monopoly positions across the country, and strengthening its profitability without compromising its distinguished expansion pace in the industry. |
| Date: | 2023–12 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2312.05630&r=tre |
| By: | Harter, Franziska |
| Abstract: | Does the promotion of public transport crowd out other modes of climate friendly mobility? During the summer of 2022, Germany introduced two policy measures to countervail the rising cost of living and energy. This paper demonstrates that these measures did not only affect individuals relying on motorized mobility but cyclists as well. Employing publicly available data from urban bike counters and data from city administrations, I find that the number of trips commuted by bicycle significantly decreased on average by 20 rides per hour and station. Moreover, I find lasting impacts after the withdrawal that indicate that the pre-intervention trend reverted. |
| Keywords: | mobility, bike counter, policy intervention, interrupted time-series |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:roswps:168&r=tre |
| By: | Ramji, Aditya; Dayemo, Kristi |
| Keywords: | Engineering, Social and Behavioral Sciences, supply chain, lithium-ion batteries, graphite, electric vehicles |
| Date: | 2024–01–04 |
| URL: | http://d.repec.org/n?u=RePEc:cdl:itsdav:qt0q83t5fd&r=tre |
| By: | Pérez-Mesa, Juan Carlos; García Barranco, Mª Carmen; Ciagnocavo, Cynthia; Hernández Rubio, Jesús |
| Abstract: | The objective of this study is to find new options for the promotion of intermodality, based on short sea shipping, as applied to perishable products. At present, most of the transport is carried out by refrigerated trucks. In theory, this change would have positive effects on the environment and could even reduce transit costs, but companies are still hesitant to implement this practice. In this context, the present study aims to determine whether there are aspects other than operational considerations (e.g., time, cost, quality or environmental concerns) that condition modal shift. First, a literature review is conducted which attempts to identify both the strengths and weaknesses of intermodality in perishable transport. This review serves as the basis for the elaboration of a questionnaire targeting transport actors within the fruit and vegetable supply chain in southeastern Spain – the area taken as an application example. Next, the survey is used to determine the possible drivers that would favor a modal shift applying a structural equation analysis, corroborated with a traditional econometric model. As a result, the design of an overall strategy based on the creation of redistribution hubs at destination (i.e., located at ports), whose operations could be optimized through the digitization of the supply chain, appears to be a promising approach. |
| Keywords: | modal shift, international transport, perishables products, redistribution centers, short sea shipping. |
| JEL: | M21 Q13 |
| Date: | 2023 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:119464&r=tre |
| By: | Elhan-Kayalar, Yesim (Asian Development Bank); Kucheryavyy, Konstantin (University of Tokyo); Nose, Manabu (International Monetary Fund); Sawada, Yasuyuki (University of Tokyo); Shangguan, Ruo (Jinan University) |
| Abstract: | This paper provides new evidence of the effects of road construction on both domestic and international trade flows in the People’s Republic of China (PRC) using customs data and information on transport investments in the region, including those supported by multilateral development banks. We find that road construction helped to reduce trade costs significantly from 2000 to 2011, supporting the catch-up of inland regions in the PRC to its coastal cities. The ad valorem rate of internal trade costs decreases by 20%, and the ad valorem rate of international trade costs decreases, on average, by 15.3%, with substantial heterogeneity of effects across sectors. Using satellite and customs data, we also document that the construction of the Kunming–Bangkok Expressway led to local economic growth and higher regional specialization in accordance with comparative advantage, suggesting the role of the road construction in facilitating market integration across borders in the Greater Mekong Subregion. |
| Keywords: | development impact; infrastructure; economic growth; trade; job creation; regional specialization; market integration |
| JEL: | F10 F13 R40 R41 |
| Date: | 2023–12–20 |
| URL: | http://d.repec.org/n?u=RePEc:ris:adbewp:0710&r=tre |
| By: | Ghinami, Francesca |
| Abstract: | This study investigates the impact of remote work adoption on the size and competitiveness of cities in the United States. As a contribution to the ongoing debate sparked by the Covid-19 pandemic, the research initially establishes city-specific upper-bound measures of potential remote work adoption, utilizing the share of employment in remotely-performable occupations for each city. Subsequently, it employs a Quantitative Spatial Economic model, incorporating shipping and commuting costs, to assess the counterfactual effects that these potential levels of remote work adoption would have on population distribution across US cities. Model predictions indicate that upon full remote-work adoption, only select highly productive cities would grow in size and productivity, tothe detriment of the majority of locations. Nevertheless, the emerging spatial equilibrium yields generalized welfare gains characterized by reduced markups in larger cities, extending even to shrinking cities through the pro-competitive effect of trade. The findings suggest a policy-relevant dual role of remote work, concurrently enhancing welfare while reinforcing agglomeration and inequality across cities. |
| Date: | 2023–12–08 |
| URL: | http://d.repec.org/n?u=RePEc:osf:socarx:krnzq&r=tre |
| By: | Ryuya Ko; Hiroshi Ohashi |
| Abstract: | In this study, we assess the influence of strategic interaction on airlines' decisions to cancel flights amid the heightened uncertainty of the early Covid-19 pandemic in Japanese domestic market. Airlines were compelled to modify their operations, predominantly through the cancellation of scheduled flights. Leveraging a novel dataset comprising airlines' public announcement, we examine the timing and magnitude of flight cancellation by integrating with data on the progression of the pandemic and the enactment of public policies. Our analysis of cancellation practices of airlines indicates that the risk of infections significantly influenced airline cancellations; specifically, an increase in the infection risk by 30% is correlated with a 10% rise in the cancellation rate during the early period of the pandemic. Additionally, our results reveal that strategic interaction also relates to the dynamics of flight cancellation decisions. The hazard rate of cancellation event is more than 30% lower in duopoly market, while it gets closer to that of monopoly market as the departure date approaches, which is in line with the implication of the war of attrition. |
| Date: | 2023–12 |
| URL: | http://d.repec.org/n?u=RePEc:tcr:wpaper:e196&r=tre |