Selecting an optimal contractual payment model for Istanbul's public bus operators using non-linear mathematical programming

Fatih Canıtez, Dilay Çelebi, Muhammet Deveci and Yusuf Kuvvetli

Research in Transportation Economics, 2019, vol. 76, issue C

Abstract: In this study, an optimum payment model is suggested for Istanbul's public bus transport operators by modelling the expectations of passengers, operators and the transport authority. Their expectations also involve non-linear relationships, hence a non-linear mathematical programming is utilized in the paper. The commercial payment, gross-cost and performance-based gross cost payment models are the alternatives to be considered instead of the net-cost model due to its service quality problems in Istanbul's context. According to the model results, a gross cost payment model is recommended for Istanbul. By offering a consensus-based middle ground between the transport actors, the model provides a way for improvement in public transport service provision especially for developing cities where regulatory and institutional context is hard to change.

Keywords: Public transport; Non-linear mathematical programming; Contracting models; Net-cost; Gross-cost; Performance-based contracts (search for similar items in EconPapers)
JEL-codes: L11 L14 L33 L92 L98 R48 (search for similar items in EconPapers)
Date: 2019
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0739885919302628
Full text for ScienceDirect subscribers only

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:retrec:v:76:y:2019:i:c:s0739885919302628

Ordering information: This journal article can be ordered from
http://www.elsevier.com/wps/find/supportfaq.cws_home/regional
https://shop.elsevie ... _01_ooc_2&version=01

DOI: 10.1016/j.retrec.2019.100750

Access Statistics for this article

Research in Transportation Economics is currently edited by M. Dresner

More articles in Research in Transportation Economics from Elsevier
Bibliographic data for series maintained by Catherine Liu ().