Service unreliability and bus subsidy

Peter Tisato ()

Transportation Research Part A: Policy and Practice, 1998, vol. 32, issue 6, 423-436

Abstract: This paper addresses the link between the degree of unreliability of bus services and the level of optimal bus subsidy. With unreliability influencing user cost, and user cost being a key determinant of optimal bus subsidy, it follows that there is a link between service unreliability and optimal subsidy. Service unreliability is shown to have quite a significant influence on optimal subsidy. The impact is rather small in cases where a single type of user behaviour (random or planned) occurs. In contrast, the impact is much more significant when a logit model is used to predict choice between the two types of user behaviour.

Date: 1998
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