Fare Increases Research Articles

Integrating para- and scheduled transit: Minibus paratransit operators' perspective on reform in Cape Town

Cities across the Global South have sought to replace minibus paratransit with contracted scheduled services, typically bus rapid transit, with limited success, particularly in Sub-Saharan Africa. In Cape Town, planners have now acknowledged a continued role for paratransit services, primarily as feeders. However, service incompatibilities arise when scheduled and unscheduled modes meet, most evidently in the form of mismatched service spans. This study explored interventions aimed at addressing mismatched evening service spans, considering paratransit operator acceptability and cost to the city authority. Drawing from a stated choice survey of (n = 79) vehicle drivers, and structured focus group discussions and qualitative interviews with (n = 16) vehicle owners, a multi-criteria analysis was conducted of seven potential interventions identified from literature review and expert interviews. Apart from an increase in evening fare which is limited by passenger affordability and a matter for paratransit associations to decide, the interventions that emerge as most promising for the city authority to consider are an operating deficit payment, in conjunction with improved terminal security. These interventions are less costly and require fewer onerous changes from status quo operations, than previous plans to eliminate paratransit through corporatization. By implementing these alternatives, limited government budgets could be spent more effectively to benefit more city residents more quickly.

Estimating the price elasticity of demand for subways: Evidence from Mexico

This paper uses fare changes in Mexico City, Guadalajara, and Monterrey to estimate the price elasticity of demand for urban rail transit. In two of the cases there is a significant fare increase (30%+), and in the third there is a 60-day fare holiday. Ridership responds sharply in the expected direction in all three cities, implying price elasticities which range across cities from −.23 to −0.32. In addition, there is suggestive evidence that the temporary fare holiday led to a higher baseline level of ridership. These estimates are directly relevant for policymakers considering alternative pricing structures for urban rail. The paper discusses the relevant economic considerations and then shows how the estimated elasticities can be used to perform policy counterfactuals.

SPATIOTEMPORAL DYNAMICS OF PUBLIC TRANSPORT DEMAND: A CASE STUDY OF RIGA

Sustainable urban mobility remains an emerging research topic during last decades. In recent years, the smart card data collection systems have become widespread and many studies have been focused on usage of anonymized data from these systems for better understanding of mobility patterns of Public Transport (PT) passengers. Data-driven mobility patterns can benefit transport planners at strategic, tactical, and operational levels. A particular point of interest is a spatiotemporal dynamics of mobility patterns that highlights transformation of the PT passenger flows over the time continuously or in response to modifications of the PT system and policies. This study is aimed to estimation and analysis of the spatiotemporal dynamics of PT passenger flows in Riga (Latvia). A multi-stage methodology was proposed and includes three main stages: (1) estimation of individual trip vectors, (2) clustering of trip vectors into spatiotemporal mobility patterns, and (3) further analysis of mobility patterns’ dynamics. The best practice methods are applied at every stage of the proposed methodology: the smart card validation flow is used for extracting information on boarding locations; the trip chain approach is used for estimation of individual trip destinations; vector-based clustering algorithms are utilised for identification of mobility patterns and discovering their dynamics. The resulting methodology provides an advanced tool for observing and managing of PT demand fluctuation on a daily basis. The methodology was applied for mining of a large smart card data set (124 million records) for year 2018. Most important empirical results include obtained daily mobility patterns in Riga, their clusters, and within-cluster dynamics over the year. Obtained daily mobility patterns allows estimation of a city-level PT origin–destination matrix that is useful in many applied areas, e.g., dynamic passenger flow assignment models. Mobility pattern-based clustering of days allows effective comparison and flexible tuning of the PT system for different days of a week, public holidays, extreme weather conditions, and large events. Dynamics of mobility patterns allows estimating the effect of implementing changes (e.g., fare increase or road maintenance) and demand forecasting for user-focused development of PT system.

METHODICAL ASPECTS OF CIVIL PASSENGER TRAFFIC COSTING

Costing is defined as a means of determining the size of the expenditures per unit of production (works, services). The opinions of the scientists on the procedure of costing and, in particular, of the services of motor transport enterprises engaged in civil passenger traffic are reported. The normative documents used by motor transport enterprises while drawing up transportation costing and tariff imposing are considered. The estimation of expenses is carried out and the scheme of tariff formation by the motor transport enterprise is developed. It is determined that costing depends on the correct planning of the transportation prime cost, which is calculated based on the data on the planned volumes of passenger traffic by motor transport enterprises. It is established that there is no single list of articles for passenger traffic costing, as the motor transport enterprise has its activity characteristics, so it individually defines this list in the Order on Accounting Policy. It should be noted that for correct calculation it would be appropriate to regulate it with normative documents with the implementation of the classification of enterprises into groups according to their activity profile. Such a normative document would make it possible to reliably justify tariff imposing by a particular motor transport enterprise. It is found out that the data of surveys of passenger flows are quite relative, so without a clear definition of the number of transported passengers, it is impossible to calculate either the reliable prime cost of transportation or to form a reasonable tariff. Passenger traffic costing as well as cost accounting requires special attention because tariffs of the motor transport enterprise are formed based on the calculated prime cost. The study showed that at present the activity of many motor transport enterprises is unprofitable, which is caused by the high prime cost of passenger traffic and will require another increase in fares. The article aims to consider the methodological approaches to passenger traffic costing, to analyze the cost structure of the motor transport enterprise to identify shortcomings and provide proposals for cost optimization and ensure their profitable operation. Methodology. To achieve this goal, the necessary tools of scientific research methods are used: dialectical method of cognition – to clarify the meaningful characteristics of expenditures and calculate the cost of production (works, services); observation – to study the state and trends of cost changes and the order of tariff formation by motor transport enterprises; grouping and economic analysis of costs –to process analytical information for further use while making management decisions aimed at ensuring profitable activity; causal relationships, concretization – to determine the information needs of users on costs; systematization and generalization – to develop proposals for improving the methods of cost accounting and traffic costing. Practical results. Based on the analysis, the normative method of costing as an effective means of cost management and ensuring the rational use of resources of the motor transport enterprise is determined. Value/originality. It is established that clear accounting of the number of transported passengers is required to determine the reliable prime cost of transportation and form reasonable transportation tariffs.

Temporal analysis of fare evasion in Transantiago: A socio-political view

Although fare evasion is a common problem in transport systems worldwide, the level of fare evasion experienced in Transantiago is considerably higher than the global average. This study aims to identify how social, political, and cultural components may affect levels of fare evasion experienced to complement and broaden the current research lines.A longitudinal econometric analysis is performed to determine the impacts of transport system variables (bus fare, ticket inspection, number of paid zones, and quality), macroeconomic variables (unemployment and informal employment), and socio-political variables (Transantiago and government approval, reference to scandals in the media, and general trust/confidence experimented at social level). Socio-political variables are included under the assumption that a negative perception regarding these variables may hinder the willingness of users to pay the transport fare.Results confirm existence of a positive autoregressive effect, suggesting a contagious effect in behaviour. An increase in level of inspection reduces fare evasion and an increase in bus fares increases fare evasion. New findings of this study include introduction of government approval and confidence/trust towards political and economic institutions and the ruling class as variables with a contrary effect towards fare evasion, i.e. a decrease in government approval and confidence/trust increases fare evasion.

The Effects of Employee Hours‐of‐Service Regulations on the U.S. Airline Industry

AbstractMaximum employee work‐hour restrictions are implemented to reduce accidents. However, because they decrease the stock of work hours available to employers in the short run, they may also have detrimental effects. A quasi‐experiment suggests that pilot hours‐of‐service reforms, which decreased the number of flights and hours a pilot may work, reduced consumer choice and increased fares in the airline industry. We find that regional and low‐cost carriers reduced scheduled flight frequency, while less constrained legacy carriers (and potentially their wholly owned subsidiaries) were unaffected. Further, we find evidence that market concentration increased on many routes, implying that fare increases may be due to a decrease in competition. These findings suggest a situation where a policy implemented to correct one market failure, airlines not internalizing the full social costs of accidents by allowing dangerously fatigued pilots to fly, exacerbated another market failure by decreasing competition.

Raising Rivals Costs by Customer Diversion: Evidence from Airline Baggage Fees

This study examines the effects of airline baggage fees as a method for diverting high cost passengers to rival airlines that do not charge such fees. We show that the latter in turn must raise their fares, thereby weakening their competitive constraint on carriers with fees and permitting the latter actually to raise their fares. Our empirical evidence focuses on routes where legacy carriers with baggage fees compete with Southwest, which has never had such fees. Consistent with the above implications of the model, we find nontrivial cost and price increases for Southwest and corresponding nontrivial fare increases by legacy carriers on routes on which they overlap with Southwest. These results provide support for the theory of "raising rivals’ costs", this in airlines, but common in other settings where unbundled pricing shifts customers between firms.

Attraction of Bus Rapid Transit (BRT) for Car and Bike Owners

Abstract This study aims to find the potential of Bus Rapid Transit (BRT) to attract the vehicle owners from their personal vehicles i.e., motorcars and motorcycles. Stated preference survey (questionnaires) and interviews were conducted at BRT (Metro Bus) Stations for the prediction of the individuals shifting from their private vehicles to BRT. Questions were designed critically as per the requirements of the research related to numerous aspects of BRT use i.e., vehicle ownership of the travelers, driving license holder, demographic characteristics, choice to use BRT if the fare increases, trip purpose and their prior mode of transportation for the same trip. A total of 374 responses, as per the population of the study area (Islamabad-Rawalpindi, Pakistan), were collected. The Multinomial Logistic Regression (MNL) model has been employed for four categories of vehicle ownerships i.e., “Car owners using BRT”, “Bike owners using BRT”, “Both Car and Bike owners using BRT” and the last one which has been taken as reference category is “BRT users with no vehicle ownership”. The analysis indicated that BRT has attracted considerably private vehicle users specially the bike owners. Some socio-economic factors like income and residence location (accessibility) additionally have a major effect on the selection of BRT. In addition, it has been observed that fare increase can alter the mode choice of the BRT users and they will again prefer their own vehicles. The Travel choice model developed in the study can be very useful for policy makers and transport planners to enhance the BRT service and attraction, to mitigate traffic congestion and car ownership.

Perkembangan PT. NPM Padang Panjang 1997-2019

This study describes the history of the company in the field of PT. NPM transportation. This type of research includes qualitative research using historical research methods. In historical research there are several steps namely heuristics (collecting data), source criticism (making criticism of existing sources), interpretation (making interpretations related to historical facts) and historiography (writing history). The results of this study explain the development of PT.NPM Padang Panjang as a family company still survives until the third generation. PT. NPM Padang Panjang was established in 1937 by Bahauddin Sutan Barbanso Nan Kuniang. In 1997 the company experienced a setback caused by several factors, namely; (1) the monetary crisis caused capital and spare parts costs to be expensive, so that it affected the increase in transportation prices, (2) the strategy of low-cost aircraft fares since 2002, (3) the existence of travel and minibuses resulted in passengers leaving large buses as a result PT. NPM stopped the AKDP (Inter-City Within Province) route in mid 2008. In the third Angga Vircansa Chairul (2009) PT. NPM experienced a heyday after formalizing tourism transportation in 2012 under the name Vircansa Tour Bous. End of 2018 a fresh breeze for transportation companies after the government implemented an increase in aircraft fares. Until 2019 PT. NPM serves regular transportation and tourism with the latest online ticket and route purchase system to Riau province.

PETROLEUM SUBSIDY WITHDRAWAL, FUEL PRICE HIKES AND THE NIGERIAN ECONOMY

The study investigated petroleum subsidy withdrawal, fuel price hikes and the Nigerian Economy. The purpose of the study was to determine the extent to which the removals of petroleum subsidies stimulate hikes in fuel prices and increases in the prices of products of other sectors in the Nigerian economy. It employed input-output model to determine the value added per sector from the computed table of flow of goods. Subsequently, the impacts of reductions in petroleum subsidies (10%, 20%, 30%, 40% and 50%) on the prices of products from the other sectors were computed. Results showed that reduction in petroleum subsidies stimulate increases in prices of petroleum products and such increases trigger increases in transport fares; increases in transport fares subsequently lead to increases in prices of other products owing to the degree of interdependency among the various sectors. The need for policy makers to be mindful of the economic implications of subsidy removal was suggested, among others.Keywords: Petroleum subsidy; Petroleum subsidy removal; Fuel Price HikeJEL Classification: H25DOI: https://doi.org/10.32479/ijeep.8307

A modelling platform for optimizing time-dependent transit fares in large-scale multimodal networks

With the continuous growth of urban areas around the world, overcrowding in large transit networks has become a persistent problem, with far-reaching impacts similar to those caused by congestion in large road networks. Moreover, instead of serving as a relief for large transportation systems, congested transit networks have increased delay-related traffic and transit costs. In light of these problems, cities seek cost-effective and relatively fast-to-implement strategies to mitigate transit system congestion, one of which is time-based fare structures. By implementing time-based fares, the transit demand may shift out of the congested peak periods, easing transit travel conditions. Although time-based fares are already in use in some transportation systems, their implementation is usually based on simplified what-if analyses. Such analyses of fare structures in previous studies have lacked a comprehensive evaluation of people's responses to these fares and is usually applied to simple or sometimes hypothetical transportation networks. Therefore, this paper presents a platform for analyzing and optimizing time-based transit fares in large networks, taking into consideration the effects of these fares on people's choices of mode, departure time, and route in addition to the interactions between transit vehicles and general traffic. As a case study, the largest metropolitan area in Canada, the Greater Toronto Area, is tested. The results show that the optimal time-based fares help spread the transit demand to the shoulders of the peak. However, the savings in weighted average multimodal door-to-door travel time over the whole network are slightly small compared to the large increase in peak-hour fares.

Crisis of Wellbeing and Popular Uprising: The Logic of Care as a Path to Social Emancipation in Chile

On 3 March, the Health Ministry publicly acknowledged the first case of coronavirus in Chile. By that point, it had been almost five months since the beginning of one of the largest social revolts in the country’s history. This extensive popular uprising has been characterised by the eruption of multiple national protests, and by the appearance and strengthening of diverse, non-traditional political organisations. And while it was sparked by a small increase in subway fares, it has highlighted the build-up of discontent generated by the structures of a deeply unequal society. It is against this backdrop that the COVID-19 pandemic arrives in Chile, a country that, for almost 50 years, has implemented far-reaching neoliberal structural adjustments in an uninterrupted fashion, initially imposed in 1975 by the civil-military dictatorship of Augusto Pinochet and deepened by the subsequent democratic governments. The objective of this text is to elaborate a general reflection on the present crisis from within a genealogical framework, one that will foster an analysis of certain elements of the post-dictatorship moment as key to comprehending the present.

Spatial and social equity implications for High-Speed Railway lines in Northern Italy

Abstract The introduction of High-Speed Railways (HSRs) redefines the connections between main territorial hubs, by reducing the travel times and guaranteeing better accessibility. Such infrastructures bring advantages in terms of travel performances, but have also some drawbacks especially for those, generally, mid-size cities that are downgraded. This paper introduces the Spatial and Social Equity Railway Indexes (SpREi and SoREI) to assess the variation in travel times, number of connections, prices and population affected by these changes. Such indexes are then applied in the north-western part of Italy (between the regions of Piedmont and Liguria) to analyse the performances of Alessandria and Asti, two cities that were part of the previous main line Turin-Rome, but have been downgraded to a secondary line after the opening of the new HSR. Their SpREI and SoREI reveal that, despite a slight reduction of travel times, the number of direct connections has decreased with a significant increase in ticket prices. Such performances are then compared to Turin and Genoa, the two main territorial hubs, revealing contradictory results: on the one hand, Turin has registered a performance boost in terms of accessibility and variations in ticket prices. On the other hand, Genoa has seen a low increase in fares and in the number of available connections, whereas average travel times have even increased, thus confirming that the introduction of HSRs may generate inequalities in the territorial connections and hence possible need of compensation by policy makers.

Valuing public acceptance of alternative-fuel buses using a Latent Class Tobit model: A case study in Valencia

The introduction of hybrid electric technology for urban public transportation can be considered a valuable stepping stone to low-carbon mobility. Using the contingent valuation method, a sample of 427 respondents were asked about their willingness to pay for the air pollution reductions associated to a scenario of gradual introduction of hybrid electric buses in Valencia, Spain. Results show that 67% of the respondents are willing to pay extra for the adoption of this electric hybrid technology, being the mean willingness to pay € 0.33 per single bus fare. This would imply a 22% hypothetical increase in current bus fares and shows that public acceptance is critical for the successful introduction of these new low-emissions vehicles. Further, this paper differs from previous research in that it addresses the issue of heterogeneity among respondents. Thus, using latent class analysis, based on questions about environmental concerns, we identify three different classes of respondents: high, medium and low environmentally concerned. Mean willingness to pay for each class ranges from €0.25 to €0.38. Then we analyze willingness to pay determinants through the estimation of a Tobit model for each class of respondents. This reaffirms the existence of heterogeneity and accordingly suggests that treating the population as a single homogeneous group of respondents, as is common in the existing literature, may lead to biased parameter estimates and flawed decision-making regarding climate change action.

Impacts of trip characteristics and weather condition on ride-sourcing network: Evidence from Uber and Lyft

This paper evaluates the impact of intracity routes and weather conditions on pick-up waiting time, trip duration, and ride fare with a focus on the ride-sourcing mode in the city of Philadelphia, in the U.S. For our analysis, ride estimate data has been collected from Uber and Lyft developers’ Application Program Interfaces (API), and weather information has been collected from Yahoo weather API during summer 2018. It should be noted that the generated trips for both ride-sourcing services are for solo and pool rides. Time fixed effect ordinary least squares model was adopted in this paper for analysis purposes.The results show that trips originated from the city center zone have higher fares compared to the trips head toward the city center. Further, it is observed that trips with origins and destinations close to the city center zone have longer trip durations. Our findings confirm that pick-up waiting time, trip duration, and fare increase in extreme weather conditions during weekdays; while they decrease during weekends. In the end, comparing Uber with its main competitor, Lyft, shows that Uber rides are faster than Lyft. However, Lyft rides are cheaper and more accessible compared to Uber in both pool and solo rides.

Reference-Dependent Preferences and the Labor Supply of Chinese Drivers

This paper takes a comprehensive study of taxi drivers’ labor supply behavior using a new dataset of taxi drivers from China. We find strong evidence that the working hours of drivers are negatively related to the hourly rates, and this effect is both statistically and economically significant. We then conduct a discrete-choice model, showing that the probability of stopping keeps increasing as cumulative working hours increase, but the probability of stopping first increases and then decreases as the cumulative fare increases. Lastly, we use the asymmetric model with the income target and working hour target as dummy variables, and the probability of stopping is significantly positively related to income target but shows no significant relation with cumulative fare.

Estimating the Price Elasticity of Demand for Subways: Evidence from Mexico

This paper uses fare changes in Mexico City, Guadalajara, and Monterrey to estimate the price elasticity of demand for urban rail transit. In two of the cases there is a significant fare increase (30%+), and in the third there is a 60-day fare holiday. Ridership responds sharply in the expected direction in all three cities, implying price elasticities which range across cities from -.23 to -.32. In addition, there is suggestive evidence that the temporary fare holiday led to a higher baseline level of ridership. These estimates are directly relevant for policymakers considering alternative pricing structures for urban rail. The paper discusses the relevant economic considerations and then shows how the estimated elasticities can be used to perform policy counterfactuals. Institutional subscribers to the NBER working paper series, and residents of developing countries may download this paper without additional charge at www.nber.org.

수도권 버스요금인상에 따른 지하철 운송기관 수입금 변화분석

수도권 버스요금인상에 따른 지하철 운송기관 수입금 변화분석

Analysis of Port Fare Increases On Container Yard Services Using Logistic Regression Model

The port company used in this research is the only port where container ship contained in Aceh and has been operating for more than 1 year. The problem with this was the large buildup of containers with long periods of time in the cultivation field that would cause losses. Losses due to the duration of the buildup are influenced by several factors, such as the yard of ratio and the length of time the container is reviewed based on the large number of containers in the container yard. For payment of the first five days of service, the container accumulation fare shall be borne by container owner company as stakeholder of port company. After more than five days, the customer will be charged the container accumulation rate calculated per box without any time consideration. This causes the customers don’t take the goods immediately, therefore it was necessary to do research on the analysis of port fare increase in port company in Aceh using logistic regression model as the basic of decision making. Based on the prediction of logistic regression model using software R3.4.3, there was a loss cost in the container yard, therefore it was necessary to take decision of the application of the port fare increase on container yard service. Based on the results of these predictions, the resulting model was a good model with an accuracy of 74.8%. The factor that affect of the loss cost was the length of time the container in the container yard period II and III.

As manifestações brasileiras de junho de 2013 e suas implicações jurídico-políticas

Este artigo realiza um estudo das manifestações ocorridas no Brasil, em junho de 2013. O objetivo é explorar relações entre movimentos sociais e direitos, e consequentemente investigar implicações causadas pelas manifestações nos sistemas jurídico e político brasileiros. Parte-se da hipótese de que movimentos sociais, no contexto de complexidade da sociedade contemporânea, provocam irritações no ambiente do direito e da política, que processam ou não as expectativas dos manifestantes. Se não indiferentes, os sistemas podem reagir nas formas de conservação ou mudança. Para ilustrar essa hipótese, três eventos destacados das jornadas de junho são sequencialmente analisados: (i) demanda pelo direito de transporte; (ii) repressão ao direito de manifestação; (iii) discussão sobre projetos de alteração legislativa PEC n. 37/2011 e PDC n. 234/2011. Os resultados desta investigação sugerem que as manifestações, a princípio rejeitadas, produziram mudanças jurídicas e políticas, evidenciadas pela revogação do aumento nas tarifas do transporte e pelo arquivamento dos projetos legislativos.