Template-Type: ReDIF-Article 1.0 Title: Introduction to the Special Issue on the Economics of Parking Journal: Journal of Transport Economics and Policy Author-Name: Daniel Albalate Author-Name: Eren Inci Year: 2018 Volume: 52 Issue: 3 Pages: 181--183 File-URL: https://www.jstor.org/stable/90020689 Handle: RePEc:tpe:jtecpo:2018:52:3:181--183 Template-Type: ReDIF-Article 1.0 Title: What Share of Traffic is Cruising for Parking? Journal: Journal of Transport Economics and Policy Author-Name: Robert C. Hampshire Author-Name: Donald Shoup Year: 2018 Volume: 52 Issue: 3 Pages: 184--201 File-URL: https://www.jstor.org/stable/90020690 Abstract: We propose a new way to measure the share of traffic that is cruising for parking: observe how many cars pass a newly vacated space before a driver parks in it. This statistical method provides a quick, cheap and approximate way to estimate what share of traffic is cruising. Using 876 observations of newly vacated on-street parking spaces in central Stuttgart, we estimated that 15 per cent of the traffic was cruising for parking. Handle: RePEc:tpe:jtecpo:2018:52:3:184--201 Template-Type: ReDIF-Article 1.0 Title: Analysing Parking Search (‘Cruising’) Time Using Generalised Multilevel Structural Equation Modelling Journal: Journal of Transport Economics and Policy Author-Name: Sarah Brooke Author-Name: Stephen Ison Author-Name: Mohammed Quddus Year: 2018 Volume: 52 Issue: 3 Pages: 202--220 File-URL: https://www.jstor.org/stable/90020691 Abstract: The aim of this paper is to identify factors influencing parking search (cruising) time. A revealed-preference on-street parking survey was undertaken with individual drivers in four UK cities to investigate the influence of personal, trip, socio-economic, physical, time-related, and price-related variables on parking search. In order to address the potential endogeneity problems between the factors (for example, parking fee and parking search time) and hierarchical issues in the survey data, a generalised multilevel structural equation model was applied. This revealed that cruising time could be reduced by seeking drivers to pay for parking as a way of improving social welfare. Handle: RePEc:tpe:jtecpo:2018:52:3:202--220 Template-Type: ReDIF-Article 1.0 Title: Parking Occupancy and External Walking Costs in Residential Parking Areas Journal: Journal of Transport Economics and Policy Author-Name: Duco de Vos Author-Name: Jos van Ommeren Year: 2018 Volume: 52 Issue: 3 Pages: 221--238 File-URL: https://www.jstor.org/stable/90020692 Abstract: We estimate the effect of parking occupancy on distances walked between parking and residential locations in Amsterdam. Using data from scanner cars, we show that walking distances only increase when the occupancy rate exceeds 85 per cent. However, the marginal effect of occupancy on walking beyond 85 per cent is limited: every parker imposes 8 m on each subsequent parker. Our analysis suggests it is optimal to have almost all parking spaces occupied late in the evening when few residents aim to park. Our result has important consequences for policy makers who use residential parking permits to prevent cruising for parking. Handle: RePEc:tpe:jtecpo:2018:52:3:221--238 Template-Type: ReDIF-Article 1.0 Title: Equity in Congestion-priced Parking: A Study of SFpark, 2011 to 2013 Journal: Journal of Transport Economics and Policy Author-Name: Daniel G. Chatman Author-Name: Michael Manville Year: 2018 Volume: 52 Issue: 3 Pages: 239--266 File-URL: https://www.jstor.org/stable/90020693 Abstract: Cities could reduce or eliminate cruising for parking by correctly setting parking meter rates, but would doing so harm lower-income drivers? We examined the question using data on more than 17,000 parked vehicles and their drivers from SFpark, a federally funded market-priced parking experiment in San Francisco. But we found that lower-income parkers are more likely to use street parking and meter rates had small effects on usage. Raising prices did not increase sorting across blocks by income. Controlled analysis yielded mixed and weak evidence that lower-income parkers may be less sensitive to price increases. We discuss policy implications. Handle: RePEc:tpe:jtecpo:2018:52:3:239--266 Template-Type: ReDIF-Article 1.0 Title: The Impact of Parking Policy on House Prices Journal: Journal of Transport Economics and Policy Author-Name: Jesper de Groote Author-Name: Jos van Ommeren Author-Name: Hans R. A. Koster Year: 2018 Volume: 52 Issue: 3 Pages: 267--282 File-URL: https://www.jstor.org/stable/90020694 Abstract: Paid parking is the recommended policy tool to deal with cruising for street parking. In the Netherlands, residents receive parking permits when paid parking is introduced, to increase their political support. We estimate the effect of this policy on residents by examining the effect of the introduction of paid parking on house prices for Amsterdam and Utrecht during a period of 30 years. We find no effect of this policy on house prices. This finding is consistent with the idea that residents only vote in favour of a local policy when it has no negative impact on their house prices. Handle: RePEc:tpe:jtecpo:2018:52:3:267--282 Template-Type: ReDIF-Article 1.0 Title: To Pay or Not to Pay for Parking at Shopping Malls: A Rationale from the Perspective of Two-sided Markets Journal: Journal of Transport Economics and Policy Author-Name: Inga Molenda Author-Name: Gernot Sieg Year: 2018 Volume: 52 Issue: 3 Pages: 283--297 File-URL: https://www.jstor.org/stable/90020695 Abstract: A shopping mall is a meeting platform for retailers and their customers, and may therefore subsidise one particular market side.We consider suburban malls as competitive bottlenecks because shops are mainly opened up by retail chains which operate in many malls, but whose customers visit only one suburban mall so as to save transport costs. If the consumer-to-shop externality is larger than the shop-to-consumer externality, parking is subsidised and if customers generate high revenue, the mall operator will offer free parking to its visitors. This result is shown in a model where two malls compete for variety-loving customers. Handle: RePEc:tpe:jtecpo:2018:52:3:283--297 Template-Type: ReDIF-Article 1.0 Title: Parking Fees and Retail Prices Journal: Journal of Transport Economics and Policy Author-Name: Eren Inci Author-Name: C. Robin Lindsey Author-Name: Gokmen Oz Year: 2018 Volume: 52 Issue: 3 Pages: 298--321 File-URL: https://www.jstor.org/stable/90020696 Abstract: We study the pricing strategy of a retailer that supplies both self-parking and valet parking space. Shoppers differ in their valuations of the good and valet parking, and dislike the prospect of paying for parking if the retailer does not have what they want. As insurance, an unregulated retailer provides self-parking free and embeds the cost in retail prices. It may price valet parking above or below cost. In the social optimum, self-parking is free and valet parking is priced at a loss. Relative to the unregulated equilibrium, more valet parking and total parking are provided. Handle: RePEc:tpe:jtecpo:2018:52:3:298--321 Template-Type: ReDIF-Article 1.0 Title: Empirical Evidence on Imperfect Information in the Parking Market Journal: Journal of Transport Economics and Policy Author-Name: Daniel Albalate Author-Name: Albert Gragera Year: 2018 Volume: 52 Issue: 3 Pages: 322--342 File-URL: https://www.jstor.org/stable/90020697 Abstract: The main focus of the literature on the economics of parking has been on the cruising-for-parking externality and garage market power. However, all studies to date assume the existence of perfect information. Yet, imperfect information may well arise as drivers: (1) may not be aware of all the options available in their choice set; and (2) lack the information required to evaluate them, thus exacerbating the aforementioned distortions. We provide compelling evidence for the existence of information frictions in this market by examining the case of Barcelona, and we test whether users’ lack of knowledge translates into undesirable market outcomes. Handle: RePEc:tpe:jtecpo:2018:52:3:322--342 Template-Type: ReDIF-Article 1.0 Title: The Ownership, Organisation, and Investment in Australia’s Major Airports Over the Longer Term Journal: Journal of Transport Economics and Policy Author-Name: Malcolm Abbott Year: 2018 Volume: 52 Issue: 4 Pages: 343--366 File-URL: https://www.jstor.org/stable/90025140 Abstract: Government ownership of airports is common, although there have been privatisations in some countries. Understanding why airports have been owned by governments, and in some cases have been privatised, is a complex matter. This paper uses a market failure/government failure framework to examine the operations of the major commercial airports in Australia over the longer run, with an emphasis on identifying the reasons for changes in their ownership. Government ownership of Australia’s major airports was established in the 1920s, and later pressure to privatise the airports built up over time for a range of reasons. Handle: RePEc:tpe:jtecpo:2018:52:4:343--366 Template-Type: ReDIF-Article 1.0 Title: Product Quality Choices and Competition: Evidence from the US Airline Industry Journal: Journal of Transport Economics and Policy Author-Name: Nicholas G. Rupp Author-Name: Angela Nian Liu Year: 2018 Volume: 52 Issue: 4 Pages: 367--390 File-URL: https://www.jstor.org/stable/90025141 Abstract: This paper examines how network carriers adjust product quality given the competition from a low-cost carrier (LCC). While previous research has shown that product quality (measured by on-time performance) suffers from heightened competition by LCC (Prince and Simon, 2015), our results find the contrary. Network carriers differentiate themselves by offering higher product quality through lower seat density and more first-class/business class seating. A network carrier’s product quality response to other LCCs depends on market overlap. When a considerable overlap exists, network carriers offer higher product quality by reducing seating density and/or increasing the proportion of first-class/business class seats. Handle: RePEc:tpe:jtecpo:2018:52:4:367--390 Template-Type: ReDIF-Article 1.0 Title: The Wright Amendment Repealed: The Price and Traffic Effects at Dallas Fort Worth and Love Field Journal: Journal of Transport Economics and Policy Author-Name: Huubinh B. Le Year: 2018 Volume: 52 Issue: 4 Pages: 391--403 File-URL: https://www.jstor.org/stable/90025142 Abstract: Before the repeal of the Wright Amendment in 2014, carriers at Dallas Love Field airport were prohibited from providing a nonstop service to a majority of cities in the United States. This paper evaluates the price and traffic changes on routes from Love Field and the nearby Fort Worth International airport following the repeal. The findings suggest significant price decreases and traffic increases on nonstop routes from Love Field, but some of this traffic comes at the expense of Fort Worth. On balance, the repeal has increased competition and consumer welfare overall, although on some routes traffic and competition have decreased. Handle: RePEc:tpe:jtecpo:2018:52:4:391--403 Template-Type: ReDIF-Article 1.0 Title: Estimating the Economic Effects of Airline Deregulation: Evidence from the Turkish Airline Industry Journal: Journal of Transport Economics and Policy Author-Name: Tamer Çetin Author-Name: Kadir Y. Eryigit Year: 2018 Volume: 52 Issue: 4 Pages: 404--426 File-URL: https://www.jstor.org/stable/90025143 Abstract: This research is supported in the scope of Project No. 2016-02-01-KAP02 by the Research Division of Yildiz Technical University. Earlier versions of this paper were presented at the Annual Meeting of the American Law and Economic Association, held at Columbia University, NY, USA, on 14–15 May 2015, and the Euro-Asia Forum in Politics, Economics, and Business on 21–22 July 2016, Belgrade, Serbia. We are thankful to the participants for their valuable comments, with special thanks to Daniel L. Rubinfeld. In addition, we are grateful to Steven Morrison and Ed Sweeney for their constructive support and DHMI and Oya Binerbay for sharing data. Responsibility for errors remains ours. Handle: RePEc:tpe:jtecpo:2018:52:4:404--426 Template-Type: ReDIF-Article 1.0 Title: Effects of Air Transport Market Liberalisation in the East African Community (EAC) Journal: Journal of Transport Economics and Policy Author-Name: Megersa Abate Author-Name: Ian Kincaid Year: 2018 Volume: 52 Issue: 4 Pages: 427--445 File-URL: https://www.jstor.org/stable/90025144 Abstract: The aviation sector in Africa is one of the least studied in the world. Using a unique data set collected for the EAC, this paper investigates how liberalisation has affected fares and service quality, and how further liberalisation may affect the aviation sector and benefit regional economies. The main results provide robust evidence that liberalisation leads to lower fares and higher frequencies, which in turn stimulate passenger demand. Fully liberalising restricted routes reduces average fares by 9 per cent and increases frequencies by 41 per cent. Furthermore, the results show that partial liberalisation is not effective in achieving equivalent impacts. Handle: RePEc:tpe:jtecpo:2018:52:4:427--445 Template-Type: ReDIF-Article 1.0 Title: Train Unreliability and Demand for Rail Freight Transport in Norway Journal: Journal of Transport Economics and Policy Author-Name: Askill Harkjerr Halse Author-Name: Vegard Østli Author-Name: Marit Killi Author-Name: Andreas Dypvik Landmark Year: 2019 Volume: 53 Issue: 1 Pages: 1--18 File-URL: https://www.jstor.org/stable/90026258 Abstract: We use a rich data set on long-distance freight trains in Norway to estimate the effect of variation in train unreliability over time on transport demand within a fixed-effect framework. The train services that we study carry high-value consumer goods and compete heavily with trucks. We find that if the share of substantially delayed trains increases by 10 percentage points, freight volume goes down by about 3 per cent. In contrast with evidence from passenger transport, we do not find that the demand elasticity with respect to reliability is lower than the one implied by stated preference (SP) studies. Handle: RePEc:tpe:jtecpo:2019:53:1:1--18 Template-Type: ReDIF-Article 1.0 Title: Commuter’s Transport Mode Preferences and Social Network Effects in New Zealand Journal: Journal of Transport Economics and Policy Author-Name: Mingyue Sheng Author-Name: Basil Sharp Year: 2019 Volume: 53 Issue: 1 Pages: 19--46 File-URL: https://www.jstor.org/stable/90026259 Abstract: This paper investigates commuters’ travel demand preferences in New Zealand’s largest city, Auckland, by choosing between public transport and private cars, using data from the nationwide household travel survey for the period of 2005/06 to 2008/09. A two-step spatial probit model is applied to analyse the impact of endogenous social network effects on public transport usage. The study supports the social network effects argument. Controlling for factors such as personal/household and trip characteristics, petrol prices and time-effects, commuters have a higher probability of using transit services if they are surrounded by other public transport users. Handle: RePEc:tpe:jtecpo:2019:53:1:19--46 Template-Type: ReDIF-Article 1.0 Title: Cross-cultural Contrasts of Preferences for Bus Rapid Transit and Light Rail Transit Journal: Journal of Transport Economics and Policy Author-Name: David A. Hensher Author-Name: Camila Balbontin Author-Name: Chinh Q. Ho Author-Name: Corinne Mulley Year: 2019 Volume: 53 Issue: 1 Pages: 47--73 File-URL: https://www.jstor.org/stable/90026260 Abstract: Bus rapid transit (BRT) is relatively unpopular in developed economies despite its appeal in delivering high-quality services, usually at a fraction of light rail transit (LRT) costs. This is often linked to emotional bias towards rail-based solutions and an image perception that clouds the merits of a bus-based system. This paper builds on research from Australia, extended by the results of a stated choice experiment conducted in the USA, France, Portugal, and the UK, to verify whether modal preferences are culture-specific, and what the drivers of community preferences for BRT and LRT are in different geographical settings. Handle: RePEc:tpe:jtecpo:2019:53:1:47--73 Template-Type: ReDIF-Article 1.0 Title: Congestion Pricing: A Mechanism Design Approach Journal: Journal of Transport Economics and Policy Author-Name: C.-Philipp Heller Author-Name: Johannes Johnen Author-Name: Sebastian Schmitz Year: 2019 Volume: 53 Issue: 1 Pages: 74--98 File-URL: https://www.jstor.org/stable/90026261 Abstract: We study traffic congestion as a mechanism design problem by analysing the allocation of drivers to a congestible road. Drivers have private information about their value of time (VOT). With a finite number of drivers, the efficient allocation depends on drivers’ VOT and is ex-ante unknown. Thus, setting a single Pigouvian price is generally not optimal. Nevertheless, the regulator can implement the efficient allocation with a Vickrey-Clarke-Groves payment rule: drivers pay for road access but also for faster travel. Our mechanism sets this price correctly without prior knowledge of the distribution of drivers’ VOT. Handle: RePEc:tpe:jtecpo:2019:53:1:74--98 Template-Type: ReDIF-Article 1.0 Title: Comparing Transaction-based and Expert-generated Price Indices in the Market for Offshore Support Vessels Journal: Journal of Transport Economics and Policy Author-Name: Roar Adland Author-Name: Pierre Cariou Author-Name: Francois-Charles Wolff Year: 2019 Volume: 53 Issue: 1 Pages: 99--118 File-URL: https://www.jstor.org/stable/90026262 Abstract: We propose a methodology to generate transaction-based price indices in a heterogeneous physical market and to compare such indices with expert-generated price indices. We apply our framework to the offshore services market using a unique data set of around 8,000 transactions. We find that the deviation between our transaction-based indices and shipbrokers’ market indices is positively impacted by the level of dayrates, and negatively impacted by the volume of transactions. Our approach is useful for the quality assurance of expert-generated price indices in heterogeneous physical markets such as transportation services. Handle: RePEc:tpe:jtecpo:2019:53:1:99--118 Template-Type: ReDIF-Article 1.0 Title: Scarcity, Market Power, and Prices at Slot-constrained Airports: Evidence from Mexico City Journal: Journal of Transport Economics and Policy Author-Name: Almudena Arcelus Author-Name: Ryan Booth Author-Name: Aaron M. Fix Author-Name: Jee-Yeon K. Lehmann Author-Name: Federico G. Mantovanelli Author-Name: Robert S. Pindyck Year: 2019 Volume: 53 Issue: 2 Pages: 119--134 File-URL: https://www.jstor.org/stable/26629599 Abstract: Many of the world’s major airports are both slot-constrained, meaning that demand for take-offs and landings exceeds airport capacity at certain time periods, and concentrated, meaning that a single airline operates a large share of take-offs and landings. Slot constraints and slot concentration can each lead to higher average fares, but for different reasons that may require different policy prescriptions. In this article, we demonstrate how policy makers can differentiate between the effects of scarcity and concentration on prices, and we apply our methodology to a recent investigation into the allocation of take-off and landing slots at Mexico City’s airport. Handle: RePEc:tpe:jtecpo:2019:53:2:119--134 Template-Type: ReDIF-Article 1.0 Title: Testing the 'Rebound Effect’ in the Transportation Sector: Empirical Evidence from China Journal: Journal of Transport Economics and Policy Author-Name: Oybek Yuldashev Author-Name: Mirkhon Mirkomilov Author-Name: Bahtiyor Eshchanov Year: 2019 Volume: 53 Issue: 2 Pages: 135--149 File-URL: https://www.jstor.org/stable/26629600 Abstract: Recent debates in economic literature highlight the rebound effect, which causes expected gains from energy efficiency to be partially or completely counteracted by increased energy consumption as a result of lower prices. We develop a computable general equilibrium model of China to simulate energy-economy interactions and estimate the consequences of a 10 per cent efficiency improvement in the transportation sector, revealing an 89 per cent rebound effect on total energy consumption. Nonetheless, implied energy efficiency proves to increase economic activity and escalate output growth for numerous sectors of the economy. Results are aimed at creating a solid base for further research. Handle: RePEc:tpe:jtecpo:2019:53:2:135--149 Template-Type: ReDIF-Article 1.0 Title: The Total Size of an Airline and Flight Delays Journal: Journal of Transport Economics and Policy Author-Name: Joep van Montfort Author-Name: Vincent A. C. van den Berg Year: 2019 Volume: 53 Issue: 2 Pages: 150--174 File-URL: https://www.jstor.org/stable/26629601 Abstract: We examine the relationship between the total size of an airline and its flight delays. Total size is measured by its total market share, total amount of assets, or total number of full-time equivalent employees. In our estimations, important controls are the degree of competition on the route and airport. We also add numerous other controls and route-specific fixed effects. We find that the larger an airline is nationwide, the smaller its average delay time and delay or cancellation occurrence. An origin airport with less competition may lead to more delays. A less competitive route may reduce delays. Handle: RePEc:tpe:jtecpo:2019:53:2:150--174 Template-Type: ReDIF-Article 1.0 Title: Adoption of Electric Vehicles: Manufacturers’ Incentive and Government Policy Journal: Journal of Transport Economics and Policy Author-Name: Jing Shao Author-Name: Hangjun Yang Author-Name: Anming Zhang Year: 2019 Volume: 53 Issue: 2 Pages: 175--198 File-URL: https://www.jstor.org/stable/26629602 Abstract: In the literature, auto manufacturers’ incentives for adopting electric vehicles and their interactions with government policies are understudied, especially through an analytical approach. We develop a game-theoretic model to investigate what vehicle types should be produced from both private firms’ and social perspectives. We then propose an EV-subsidy/environmental-tax policy and derive the optimal policy parameters that maximise social welfare. The monopoly and duopoly markets are examined and compared, and it is shown that the government should charge a higher environmental tax, while offering a lower EV subsidy, in the duopoly market than in the monopoly market. Handle: RePEc:tpe:jtecpo:2019:53:2:175--198 Template-Type: ReDIF-Article 1.0 Title: On the Treatment of Foreigners and Foreign-owned Firms in the Cost-benefit Analysis of Transport Projects Journal: Journal of Transport Economics and Policy Author-Name: Per-Olov Johansson Author-Name: Ginés de Rus Year: 2019 Volume: 53 Issue: 3 Pages: 199--211 File-URL: https://www.jstor.org/stable/26800451 Abstract: This paper addresses the issue of the treatment of foreigners and foreign-owned firms in the cost-benefit analysis of transport projects. The distinction between the indirect utility function of national and non-national allows the consideration of some relevant cases. These are: the common case of zero weights to foreign consumers, and foreign companies shipping their producer surpluses abroad; the case of local firms owned by foreigners; the altruist local household case; the consequence of fixed factors (for example, land) for the evaluation of foreign surpluses in infrastructure investment; and the case of transnational projects with asymmetrical distribution of costs and benefits. Handle: RePEc:tpe:jtecpo:2019:53:3:199--211 Template-Type: ReDIF-Article 1.0 Title: Product Market Deregulation's Winners and Losers: US Railroads Between 1981 and 2001 Journal: Journal of Transport Economics and Policy Author-Name: Laura Padilla-Angulo Author-Name: Guido Friebel Author-Name: Gerard McCullough Year: 2019 Volume: 53 Issue: 3 Pages: 212--237 File-URL: https://www.jstor.org/stable/26800452 Abstract: We account for the labour effects around the time of deregulation by investigating a comprehensive data set on US railroads that contain detailed finance, output, employment, and wage information for six different skill groups. We identify the effect of product market strategies and mergers on workers' employment and earnings. Railroads have downsized and they have restructured the composition of their human resources. The majority of employee groups have benefited in terms of compensation. Low-skilled workers, blue-collar workers, and administrative staff are the main losers. The main winners have been managers and locomotive drivers. Handle: RePEc:tpe:jtecpo:2019:53:3:212--237 Template-Type: ReDIF-Article 1.0 Title: Impact Analysis of High-speed Rail Investment on Regional Economic Inequality: A Hybrid Approach Using a Transportation Network-CGE Model Journal: Journal of Transport Economics and Policy Author-Name: Euijune Kim Author-Name: Yoojin Yi Year: 2019 Volume: 53 Issue: 3 Pages: 238--257 File-URL: https://www.jstor.org/stable/26800453 Abstract: This paper analyses the impact of the establishment of a high-speed rail (HSR) link between less and more developed regions on regional economic inequality in South Korea. We applied a hybrid method composed of a transportation network analysis and a multi-regional Computable General Equilibrium (CGE) model. Results indicate that a new HSR link from a less developed region to the capital region with a pre-developed HSR line leads to regional divergence in terms of the regional production growth rate. However, the regional disparity could decrease due to an increase in interregional mobility of labour and capital. Handle: RePEc:tpe:jtecpo:2019:53:3:238--257 Template-Type: ReDIF-Article 1.0 Title: Estimating the Impact of Traffic on Rail Infrastructure Maintenance Costs: The Importance of Axle Loads Journal: Journal of Transport Economics and Policy Author-Name: Kristofer Odolinski Year: 2019 Volume: 53 Issue: 3 Pages: 258--274 File-URL: https://www.jstor.org/stable/26800454 Abstract: In this paper, we estimate the impact of axle loads on rail infrastructure maintenance costs. The results show that cost elasticities with respect to traffic increase with axle load. Using these elasticities, we calculate marginal costs for traffic that are differentiated with respect to the trains' average tonnage per axle. The results are relevant when setting track access charges in Europe as well as for railway cost studies in general, considering that the empirical evidence in this paper gives support to the engineering perspective — that is, axle loads are important to consider when assessing the damage caused by traffic. Handle: RePEc:tpe:jtecpo:2019:53:3:258--274 Template-Type: ReDIF-Article 1.0 Title: Do Small Cities Need More Public Transport Subsidies Than Big Cities? Journal: Journal of Transport Economics and Policy Author-Name: Maria Börjesson Author-Name: Chau Man Fung Author-Name: Stef Proost Author-Name: Zifei Yan Year: 2019 Volume: 53 Issue: 4 Pages: 275--298 File-URL: https://www.jstor.org/stable/26800457 Abstract: We compare the optimal public transport subsidies for a representative bus corridor in a small city and in a big city in Sweden, derived by assuming optimal pricing, frequency, bus stop spacing, and bus lane policies. The optimal cost-recovery of the buses depends on the relative size of two costs: waiting time and crowding/congestion. In the big city the high crowding cost is dominating, approaching full cost-recovery in the first-best optimum. In the small city the waiting time dominates, implying larger optimal subsidies. The subsidy is also more effective as a redistribution policy in the small city. Handle: RePEc:tpe:jtecpo:2019:53:4:275--298 Template-Type: ReDIF-Article 1.0 Title: Modelling the Costs of Unexpected Traffic Flow Disruptions Journal: Journal of Transport Economics and Policy Author-Name: Kjersti Granås Bardal Author-Name: Terje Andreas Mathisen Year: 2019 Volume: 53 Issue: 4 Pages: 299--322 File-URL: https://www.jstor.org/stable/26800458 Abstract: Cost-benefit analysis is a well-recognised assessment tool for evaluating transport infrastructure projects. However, existing frameworks do not fully consider the benefits for road users of reducing the frequency and duration of unexpected road closures. The aim of this paper is twofold. First, a model is developed to assess the economic consequences of weather-related disruptions causing road closures. Second, an application of the model is provided using empirical evidence from Norway. The benefits for road users of reducing the frequency and duration of temporary traffic flow disruptions can be extensive, and should be considered in cost-benefit analyses of relevant infrastructure projects. Handle: RePEc:tpe:jtecpo:2019:53:4:299--322 Template-Type: ReDIF-Article 1.0 Title: How Efficient are Intercity Railway Prices and Frequencies in Europe?: Comparing a Corridor in Belgium and in France Journal: Journal of Transport Economics and Policy Author-Name: Guillaume Monchambert Author-Name: Stef Proost Year: 2019 Volume: 53 Issue: 4 Pages: 323--347 File-URL: https://www.jstor.org/stable/26800459 Abstract: This paper studies the efficient pricing of medium-distance passenger rail in Europe. Current fares and frequencies are compared with three alternatives: first-best where road congestion is internalised; second-best where no road tolls are implemented; and third-best where a maximum rail deficit is also imposed. We find that second-best fares depend strongly on the non-internalised road congestion and on the price elasticity of the passengers, complicating the derivation of a national or regional fare structure. Second-best achieves a significant share of the first-best benefits, but adding a budget constraint makes second-best solutions difficult to implement for some corridors. Handle: RePEc:tpe:jtecpo:2019:53:4:323--347 Template-Type: ReDIF-Article 1.0 Title: Delay Fees in the Procurement of Construction Projects Journal: Journal of Transport Economics and Policy Author-Name: Johan Nyström Author-Name: Jan-Eric Nilsson Author-Name: Maria Börjesson Year: 2019 Volume: 53 Issue: 4 Pages: 348--363 File-URL: https://www.jstor.org/stable/26800460 Abstract: This paper suggests Delay Fees (DF) to handle temporary congestion during road works. The DF is paid by the contractor based on road users' loss of travel time due to construction. This decentralises the trade-off between construction costs and user time to the contractor, increasing social welfare. The contractor not only will account for user time during each single project, but also is incentivised to develop innovative construction techniques. Compared to other means in the literature for reducing temporary construction, the DF is more general in its focus on user time rather than lane closure. Handle: RePEc:tpe:jtecpo:2019:53:4:348--363 Template-Type: ReDIF-Article 1.0 Title: The Impact of Airline Code-sharing on Product Quality Journal: Journal of Transport Economics and Policy Author-Name: Jules Yimga Year: 2020 Volume: 54 Issue: 1 Pages: 1--20 File-URL: https://www.jstor.org/stable/26888116 Abstract: We investigate the impact of domestic code-sharing alliances on airline on-time performance (OTP). We examine this issue in the US airline industry, where major domestic carriers are required to report their OTP. Our analysis yields two main findings. First, consistent with the literature, we find that the overwhelming majority of domestic code-share itineraries involve a single operating carrier, a practice we refer to as virtual code-sharing. Second, and most importantly, we find that code-share itineraries are associated with less arrival delay relative to itineraries marketed and operated by a single carrier. Handle: RePEc:tpe:jtecpo:2020:54:1:1--20 Template-Type: ReDIF-Article 1.0 Title: Price Regulations and Price Adjustment Dynamics: Evidence from the Austrian Retail Fuel Market Journal: Journal of Transport Economics and Policy Author-Name: Evanthia Fasoula Author-Name: Karsten Schweikert Year: 2020 Volume: 54 Issue: 1 Pages: 21--39 File-URL: https://www.jstor.org/stable/26888117 Abstract: This paper investigates fuel price regulations implemented in Austria prohibiting retailers from raising their prices more than once per day. We analyse price transmission dynamics over three subsamples and find evidence for asymmetric adjustment in the post-regulation period. Considering the combined effect of input price changes reveals that gasoline now passes through input price changes faster in the post-regulation period. We do not obtain the same finding for diesel, where only input price increases are transmitted significantly faster. We conclude that the Austrian fuel price regulation seems to have been a partial success in terms of efficiency in price transmission. Handle: RePEc:tpe:jtecpo:2020:54:1:21--39 Template-Type: ReDIF-Article 1.0 Title: Macroeconomic Determinants of Air Travel Demand in Spain Journal: Journal of Transport Economics and Policy Author-Name: Juan Gonzalez-Alegre Year: 2020 Volume: 54 Issue: 1 Pages: 40--57 File-URL: https://www.jstor.org/stable/26888118 Abstract: This paper constructs and estimates a panel data model that predicts the number of air traffic passengers from several macroeconomic and geographic variables. The model is estimated with data from Spain (1999–2014) at the provincial level. Results reveal that economic growth and average income are the main forces driving demand, while a size effect is also clearly identified. Coastal provinces and, overall, islands also experience larger demand. Finally, a positive coefficient is estimated for the number of passengers in neighbouring airports, which reveals that the relationship of the demand among airports is characterised by complementarity rather than competition. Handle: RePEc:tpe:jtecpo:2020:54:1:40--57 Template-Type: ReDIF-Article 1.0 Title: Borderplex Bridge Wait Time Headache Reactions Journal: Journal of Transport Economics and Policy Author-Name: Thomas M. Fullerton Author-Name: Omar Solis Year: 2020 Volume: 54 Issue: 1 Pages: 58--78 File-URL: https://www.jstor.org/stable/26888119 Abstract: Northbound wait times at three international bridges linking Ciudad Juarez, Chihuahua, Mexico and El Paso, Texas, USA are used to help model personalvehicle flows into El Paso. Sample data also include tolls, exchange rates, and employment. Results confirm inverse relationships between traffic flows and tolls, as well as between traffic flows and queue times. Substitution effects between structuresare also observed. Dollar-equivalent toll estimates are approximated for wait times ateach bridge. Those wait time toll equivalents are used to estimate time-related costs at each port of entry. When delays reach 49 minutes, drivers select alternative routes. Handle: RePEc:tpe:jtecpo:2020:54:1:58--78 Template-Type: ReDIF-Article 1.0 Title: Does High-speed Rail Affect Airport Efficiency?: Evidence from Italy Journal: Journal of Transport Economics and Policy Author-Name: Fausto Galli Author-Name: Giuseppe Lubrano Lavadera Author-Name: Marianna Marra Year: 2020 Volume: 54 Issue: 2 Pages: 79--101 File-URL: https://www.jstor.org/stable/26912212 Abstract: This paper investigates the impact of the development of the high-speed railway (HSR) infrastructure on the efficiency of the airport system in Italy during the period 2003–14. We employ a two-stage estimation: in stage one we implement DEA to obtain airport technical inefficiency scores, which are regressed in stage two on proxies of distance from the HSR network. Evidence from efficiency analysis indicates the presence of variable returns to scale. Regression results suggest that airport efficiency increases with different measures of proximity to HSR links. Results are robust to the inclusion of low-cost companies and international flights. Handle: RePEc:tpe:jtecpo:2020:54:2:79--101 Template-Type: ReDIF-Article 1.0 Title: Increased Market Transparency in Germany’s Gasoline Market: What about Rockets and Feathers? Journal: Journal of Transport Economics and Policy Author-Name: Manuel Frondel Author-Name: Marco Horvath Author-Name: Colin Vance Author-Name: Alexander Kihm Year: 2020 Volume: 54 Issue: 2 Pages: 102--120 File-URL: https://www.jstor.org/stable/26912213 Abstract: Drawing on panel data on daily fuel prices covering more than 5,000 filling stations in Germany, this paper documents a change in the stations’ price-setting behaviour following the introduction of a legally mandated online price portal in 2013. Prior to the portal, positive asymmetry is found on the basis of error correction models, with prices following the ‘rockets and feathers’ pattern typically found for fuels. In the aftermath of the portal, negative asymmetry is observed: fuel price decreases in response to refinery price decreases are stronger than fuel price increases due to refinery price increases. This reversal in price pass-through, suggests welfare gains for consumers from increased market transparency. Handle: RePEc:tpe:jtecpo:2020:54:2:102--120 Template-Type: ReDIF-Article 1.0 Title: Integrating Business Location Choices into Transport and Land Use Planning Tools Journal: Journal of Transport Economics and Policy Author-Name: David A. Hensher Author-Name: Chinh Q. Ho Author-Name: Collins Teye Author-Name: Wen Liu Author-Name: Edward Wei Year: 2020 Volume: 54 Issue: 2 Pages: 121--150 File-URL: https://www.jstor.org/stable/26912214 Abstract: We develop a capability within an integrated passenger, freight transport, and land use model to accommodate an endogenous treatment, in contrast to an exogenous treatment, of firm location choice and associated jobs, with feedback between travel and location resulting in the change in the total amount of business. Data from the Sydney Metropolitan Area is used to estimate firm location share models and illustrate how the model system is used in investigating the impact of cordon-based congestion charging in the Sydney Central Business District on changes in the number of firms and jobs in that zone, and locational redistribution response. Handle: RePEc:tpe:jtecpo:2020:54:2:121--150 Template-Type: ReDIF-Article 1.0 Title: A Price for Delays: Price-quality Competition in the US Airline Industry Journal: Journal of Transport Economics and Policy Author-Name: Volodymyr Bilotkach Author-Name: Vivek Pai Year: 2020 Volume: 54 Issue: 2 Pages: 151--176 File-URL: https://www.jstor.org/stable/26912215 Abstract: We assess effects of service quality competition, in terms of delays, in the US airline industry. We utilise delays along a route to evaluate the effect of endogenous and exogenous service quality dimensions on fares. While both endogenous and exogenous delays are found to have an effect on ticket prices, the magnitude is larger for the latter. One additional minute of weather delay decreases average fares by between $4.46 and $6.55, while an extra minute of carrier delay results in a $2.70 to $5.13 price decrease. Airlines are not always penalised by passengers for delays that are within their control. Handle: RePEc:tpe:jtecpo:2020:54:2:151--176 Template-Type: ReDIF-Article 1.0 Title: Taking the Moral High Ground?: The Reduction of Private Car Usage Through a Sense of Obligation Journal: Journal of Transport Economics and Policy Author-Name: David Broadstock Author-Name: Alan Collins Author-Name: Adam Cox Author-Name: Neil Ferguson Author-Name: Lee Woods Year: 2020 Volume: 54 Issue: 3 Pages: 177--198 File-URL: https://www.jstor.org/stable/27106103 Abstract: This study investigates the extent to which a sense of moral pressure to reduce car usage is influenced by household decisions about vehicle use. There is a higher probability of feeling moral pressure among those driving more, those driving larger vehicles, and those using more fuel-efficient vehicles. This moral pressure is found to decrease for households with higher income and households further away from a city centre. Results suggest that there is room to shape transport policies to focus on those households that feel less moral pressure in reducing use of personal automotive vehicles. Handle: RePEc:tpe:jtecpo:2020:54:3:177--198 Template-Type: ReDIF-Article 1.0 Title: Multi-part pricing in the US Less-than-Truckload Motor Carrier Industry Journal: Journal of Transport Economics and Policy Author-Name: Angela Yan Du Author-Name: Steven T. Buccola Year: 2020 Volume: 54 Issue: 3 Pages: 199--218 File-URL: https://www.jstor.org/stable/27106104 Abstract: Less-than-truckload motor carriers, which handle goods of unrelated customers, generally charge separately for base, fuelling, and accessory services. We develop and estimate a monopolistically competitive model of these multi-part structures — particularly base and fuelling — allowing joint inference about price strategy and technology. We find that although base and fuelling are priced separately, the services themselves are technologically partly joint. Nevertheless, base charges defray the more liquid inputs, where scale returns are constant — while fuelling charges tend to cover the carrier’s scarcer resources, where scale returns are decreasing. Unsurprisingly then, market power is achieved primarily in the prices charged to fuelling. Handle: RePEc:tpe:jtecpo:2020:54:3:199--218 Template-Type: ReDIF-Article 1.0 Title: The Economic Impact of Seaport and Other Infrastructure Investments and Leakages: A Literature Review Journal: Journal of Transport Economics and Policy Author-Name: Felix L. Friedt Author-Name: Wesley W. Wilson Year: 2020 Volume: 54 Issue: 4 Pages: 219--243 File-URL: https://www.jstor.org/stable/27106107 Abstract: This survey is of the growing body of research investigating the economic development effects of transport infrastructure expenditures, and seaport investments in particular. This literature employs a variety of methods, and draws varying conclusions. Our review suggests that the estimated investment effects are generally positive, and that there is considerable disagreement on the magnitude of the resulting productivity and employment benefits. The estimated impacts of seaport investments are particularly contentious. We identify cross-border investment benefit leakages as one potential determinant underlying this controversy, and find that the sparse literature on leakages delivers key insights that deserve more attention going forward. Handle: RePEc:tpe:jtecpo:2020:54:4:219--243 Template-Type: ReDIF-Article 1.0 Title: Airline Profit Maximisation, Cost Pass-through, and Scarcity Rents in Capacity-constrained Aviation Systems Journal: Journal of Transport Economics and Policy Author-Name: Lynnette Dray Author-Name: Khan Doyme Author-Name: Andreas W. Schäfer Year: 2020 Volume: 54 Issue: 4 Pages: 244--266 File-URL: https://www.jstor.org/stable/27106108 Abstract: Airport capacity limitations have been suggested to lead to reduced pass-through of airline cost changes, and increased airline profits. Theoretically, these outcomes arise from limited supply leading to profit-optimal passenger fares, determined only by available capacity. Practically, however, outcomes depend on real-world airline networks, fleet, and costs. We model airline competition across an existing network (Australian intercity domestic flights) with endogenously generated fares and frequency to investigate this. Consistent with theory, we find less pass-through at airports with more stringent capacity constraints and where airlines are unequally affected by cost changes. Per-passenger airline profit increases roughly linearly with constraint stringency. Handle: RePEc:tpe:jtecpo:2020:54:4:244--266 Template-Type: ReDIF-Article 1.0 Title: High-speed Rail, Urbanisation, and Housing Affordability: Evidence from the Shinkansen System Journal: Journal of Transport Economics and Policy Author-Name: Jerry Nickelsburg Author-Name: Saurabh Ahluwalia Author-Name: Yang Yang Year: 2020 Volume: 54 Issue: 4 Pages: 267--288 File-URL: https://www.jstor.org/stable/27106109 Abstract: We re-examine the economic consequences of the Shinkansen in Japan from 1964 to 2010. We examine, separately and jointly, two different episodes in Japanese economic history. We construct a prefecture-level data set for Japan with macroeconomic and socio-demographic variables, as well as data on the opening and operation of each of 10 Shinkansen lines. We provide evidence that high-speed rail has a negative impact on prefecture land prices and is neutral with respect to economic growth, even as it spurs growth around rail stations, induces urban sprawl, increases housing affordability, and reduces overall urban density. Handle: RePEc:tpe:jtecpo:2020:54:4:267--288 Template-Type: ReDIF-Article 1.0 Title: Obtaining Direct and Cross-fare Elasticities from Opal E-data in Sydney, Australia Journal: Journal of Transport Economics and Policy Author-Name: David A. Hensher Author-Name: Chinh Ho Year: 2020 Volume: 54 Issue: 4 Pages: 289--316 File-URL: https://www.jstor.org/stable/27106110 Abstract: Using electronic ticketing (Opal) data, we present evidence on adult fare elasticities by journey length, time of day, and weekday versus weekend for public transport services (heavy rail, bus, light rail, and ferries) in the greater Sydney area. We compare the findings with other studies. The paper also documents the challenges and limitations of e-ticketing data, and compares the findings with those in the broader literature on fare elasticities. Handle: RePEc:tpe:jtecpo:2020:54:4:289--316 Template-Type: ReDIF-Article 1.0 Title: Spanish Domestic Airline Market Structure and Incumbent Cost Response to Market Entry: Direction and Magnitude of Response Journal: Journal of Transport Economics and Policy Author-Name: Franco M. Sancho-Esper Author-Name: Francisco J. Mas-Ruiz Year: 2016 Volume: 50 Issue: 3 Pages: 223--244 File-URL: https://www.jstor.org/stable/jtranseconpoli.50.3.0223 Abstract: This study analyses incumbent cost response to route-level entry in the Spanish airline market, by assessing the type of entrant and airport capacity restrictions. It includes 193 routes where incumbents react to entrants, estimating the operating costs for each carrier using a multiple-source database based on accounting and industrial engineering procedures. The results reveal that, under airport capacity restrictions, incumbents accommodate in costs more when facing low-cost entrants than formerly regulated ones; while the elimination of such restrictions drives incumbents to greater cost retaliation to low-cost entrants than to formerly regulated ones. Product differentiation predicts these dynamic effects. Handle: RePEc:tpe:jtecpo:2016:50:3:223--244 Template-Type: ReDIF-Article 1.0 Title: Profit Sharing and the Stability of Shipping Alliances Based on Game Theory Journal: Journal of Transport Economics and Policy Author-Name: Zhaojing Wang Author-Name: Hao Hu Author-Name: Qingcheng Zeng Author-Name: Xiaobing Li Year: 2016 Volume: 50 Issue: 3 Pages: 245--261 File-URL: https://www.jstor.org/stable/jtranseconpoli.50.3.0245 Abstract: The liner shipping industry has been characterised by a greater concentration after the advent of new shipping alliance policies: Ocean Three and 2M. The Modified Shapley model and the core theory are proposed to investigate the profit share and the stable operation of alliances. The results have revealed that: (i) a more reasonable profit distribution mechanism exists that considers risk-taking, market competitiveness and investment; (ii) the stable distribution intervals of dominant and non-dominant members are deduced to ensure their loyalty to alliances without re-structuring. This fills the gaps in the research on profit sharing by alliance members with different capacities. Handle: RePEc:tpe:jtecpo:2016:50:3:245--261 Template-Type: ReDIF-Article 1.0 Title: A Traffic Equilibrium Model with Paid-parking Search Journal: Journal of Transport Economics and Policy Author-Name: Renger H. van Nieuwkoop Author-Name: Kay W. Axhausen Author-Name: Thomas F. Rutherford Year: 2016 Volume: 50 Issue: 3 Pages: 262--286 File-URL: https://www.jstor.org/stable/jtranseconpoli.50.3.0262 Abstract: This paper describes a Wardropian traffic flow model, integrated with a search model for paid parking. The occupancy rate influences the probability of finding on-street (kerbside) or off-street (garage) parking spaces. We formulate the model as a mixed complementarity problem, which can be solved without a complete enumeration of all possible paths, and the use of readily available software. We analyse different parking policies in Zurich and find that changing the parking fee structure will lead to high efficiency gains. Incorporating household heterogeneity is not critical for the overall efficiency effects, but shows important regressive, distributional effects. Handle: RePEc:tpe:jtecpo:2016:50:3:262--286 Template-Type: ReDIF-Article 1.0 Title: Determinants of Air Passenger Flows in China and Gravity Model: Deregulation, LCCs, and High-speed Rail Journal: Journal of Transport Economics and Policy Author-Name: Yahua Zhang Author-Name: Anming Zhang Year: 2016 Volume: 50 Issue: 3 Pages: 287--303 File-URL: https://www.jstor.org/stable/jtranseconpoli.50.3.0287 Abstract: This paper reviews the development of China's air transport policy and examines the determinants of Chinese city-pair air passenger flows using a gravity model approach accounting for the effects of multilateral resistance. We find significant positive impacts of both the continuing liberalisation of this industry and the low-cost carriers (LCCs) in promoting bilateral traffic flows in China's domestic aviation market. Local industry structures and high-speed rail (HSR) services also influence the volume of passenger movement. The challenge from HSR will be greater in the near future after the fast-expanding HSR network has connected most of the major cities. Handle: RePEc:tpe:jtecpo:2016:50:3:287--303 Template-Type: ReDIF-Article 1.0 Title: Excess Revenue Allocation for Build-Operate-Transfer Highway Projects Journal: Journal of Transport Economics and Policy Author-Name: Jinbo Song Author-Name: Lulu Jin Author-Name: Wanli Dong Year: 2016 Volume: 50 Issue: 3 Pages: 304--324 File-URL: https://www.jstor.org/stable/jtranseconpoli.50.3.0304 Abstract: Revenue uncertainty and volatility are problems in BOT highway projects because it is difficult to predict accurately future traffic volume. In high traffic demands, the absence of an excess revenue allocation mechanism leads to the private sector obtaining huge profits, and a high revenue risk to the government and the public. To solve this problem, the Black–Scholes (B–S) pricing method is used to determine the revenue cap, and a dynamic model is proposed to determine the excess revenue allocation proportion considering the consumer surplus rate and the revenue cap. Finally, the proposed model is illustrated by a numerical example. Handle: RePEc:tpe:jtecpo:2016:50:3:304--324 Template-Type: ReDIF-Article 1.0 Title: Simulating Contestability in Freight Transportation: The Canadian Grain Handling and Transportation System Journal: Journal of Transport Economics and Policy Author-Name: R. Lawrence Author-Name: J. Nolan Author-Name: R. Schoney Year: 2016 Volume: 50 Issue: 4 Pages: 325--349 File-URL: https://www.jstor.org/stable/jtranseconpoli.50.4.325 Abstract: Abstract Modern supply chains are characterised by multiple interactions among individuals and evolving temporal patterns of interaction. The grain handling and transportation system (GHTS) in Canada is a good example of a large modern supply chain. In this paper, we develop an agent-based simulation model of this regional supply chain, and use the simulation output to assess the viability of an open-rail access policy designed to mitigate railway market power in the system. We find that if open-rail access in the Canadian GHTS were to be implemented, profitable entry opportunities would, at best, be very limited. Handle: RePEc:tpe:jtecpo:2016:50:4:325--349 Template-Type: ReDIF-Article 1.0 Title: Single-till Versus Dual-till Regulation of Airports: Where Do Academics and Regulators (Dis)agree? Journal: Journal of Transport Economics and Policy Author-Name: Achim I. Czerny Author-Name: Cathal Guiomard Author-Name: Anming Zhang Year: 2016 Volume: 50 Issue: 4 Pages: 350--368 File-URL: https://www.jstor.org/stable/jtranseconpoli.50.4.350 Abstract: Abstract Most airports operate under public ownership, while the number of private and economically regulated airports is increasing. Furthermore, airports nowadays earn as much revenue from non-aeronautical business activities as from aeronautical activities. These observations lead to a natural question: whether and how to optimally integrate profits derived from commercial activities into the regulation of aeronautical charges? This paper’s approach to this question is to compare literature results on the benefits of regulatory regimes with actual regulatory practice in Ireland and the UK, and to identify avenues for future research that could be useful to support and improve future regulatory decisions. Handle: RePEc:tpe:jtecpo:2016:50:4:350--368 Template-Type: ReDIF-Article 1.0 Title: Modelling the Performance of the Athens Bus Network using Data Envelopment Analysis and Neural Network Regression Journal: Journal of Transport Economics and Policy Author-Name: Eleni I. Vlahogianni Author-Name: Konstantinos Kepaptsoglou Author-Name: Matthew G. Karlaftis Year: 2016 Volume: 50 Issue: 4 Pages: 369--383 File-URL: https://www.jstor.org/stable/jtranseconpoli.50.4.369 Abstract: Abstract Performance evaluation of transit system elements is a required process for decision makers willing to redesign its structure, operations, and services. In this paper, we employ Data Envelopment Analysis and neural network regression to investigate the efficiency of bus depots and lines for the Athens (Greece) bus system. Results reveal differences between depots with respect to their technical efficiency and returns to scale. For bus lines, variability of their performance is observed, even for those operating from efficient depots. These findings may have significant implications to a possible restructuring effort, as it reflects the need to assess each line separately. Handle: RePEc:tpe:jtecpo:2016:50:4:369--383 Template-Type: ReDIF-Article 1.0 Title: Efficiency Analysis of Airports in India in a Changing Environment: A Data Envelopment Analysis Approach Journal: Journal of Transport Economics and Policy Author-Name: Smita Kashiramka Author-Name: Radhika Banerjee Author-Name: Anand Kumar Author-Name: P. K. Jain Year: 2016 Volume: 50 Issue: 4 Pages: 384--403 File-URL: https://www.jstor.org/stable/jtranseconpoli.50.4.384 Abstract: Abstract The strategic importance of airports in the economic development of any country is well recognised. However, the literature is deficient as far as the operational efficiency of Indian airports is concerned. This paper attempts to examine the efficiency of 46 Indian airports between 2012 and 2014 using the BCC model and the Malmquist productivity index methods of DEA technique. The results indicate that international airports and those lying in the southern region of India are performing efficiently. It is also found that the airports managed through joint ventures are more efficient than others. Handle: RePEc:tpe:jtecpo:2016:50:4:384--403 Template-Type: ReDIF-Article 1.0 Title: Expanding Cities and Connecting Cities: Appraising the Effects of Transport Improvements Journal: Journal of Transport Economics and Policy Author-Name: Anthony J. Venables Year: 2017 Volume: 51 Issue: 1 Pages: 1--19 File-URL: https://www.jstor.org/stable/90003595 Abstract: Abstract The economic effects of transport improvements accrue through three main mechanisms. The first is direct cost saving. The second occurs if there are urbanisation economies. The third arises if there are city-task level economies of scale (localisation economies), and applies principally to inter-city improvements which enable cities to specialise in particular sectors or tasks. This paper develops an integrated framework which captures these mechanisms and derives multipliers to give their welfare impact. Gains from specialisation and scale economies may be large, although a transport improvement may be a necessary but not sufficient condition for the gains to be achieved. Handle: RePEc:tpe:jtecpo:2017:51:1:1--19 Template-Type: ReDIF-Article 1.0 Title: Passenger Facility Charges in Privatised Mexican Airports: Dynamic Panel Data Evidence on the Domestic Market Journal: Journal of Transport Economics and Policy Author-Name: Victor Valdes Author-Name: Laura Sour Year: 2017 Volume: 51 Issue: 1 Pages: 20--33 File-URL: https://www.jstor.org/stable/90003596 Abstract: Abstract Airport pricing is a key determinant of airport revenue, but has been studied little outside of Europe and the United States. We examine the determinants of domestic Passenger Facility Charges (PFC) in privatised airports over a nine-year period (2006–14) in Mexico. Using a GMM model, we find that dual-till price cap regulation has had a significant effect on PFC during the post-privatisation period; airports can capture airlines’ market power when setting PFC, and airports increase PFC when domestic passengers become more important. These findings illustrate the actual status of Mexican privatised airports and complement the empirical airport pricing literature. Handle: RePEc:tpe:jtecpo:2017:51:1:20--33 Template-Type: ReDIF-Article 1.0 Title: Cost Distribution and the Acceptability of Road Pricing: Evidence from Milan’s Referendum Journal: Journal of Transport Economics and Policy Author-Name: Marco Percoco Year: 2017 Volume: 51 Issue: 1 Pages: 34--46 File-URL: https://www.jstor.org/stable/90003597 Abstract: Abstract Road pricing schemes are increasingly adopted by local governments to curb pollution and congestion. Several factors may influence the acceptance of such schemes by road users: voter expectations, awareness of the policy’s relevance, familiarity with the road pricing debate, perceived fairness, environmental concerns, car dependence, and the value of a trial. We argue that skewness in the distribution of costs related to the policy is an important factor for user acceptance. Using data from the 2011 referendum on Milan road pricing, we found support for the relevance of cost heterogeneity in explaining the share of road users supporting the tax. Handle: RePEc:tpe:jtecpo:2017:51:1:34--46 Template-Type: ReDIF-Article 1.0 Title: Labour Market Accessibility and Unemployment Journal: Journal of Transport Economics and Policy Author-Name: Therese Norman Author-Name: Maria Börjesson Author-Name: Christer Anderstig Year: 2017 Volume: 51 Issue: 1 Pages: 47--73 File-URL: https://www.jstor.org/stable/90003598 Abstract: Abstract This paper estimates the relationship between temporal changes in unemployment and changes in labour market accessibility in Sweden. The accessibility measure is derived from the national transport model taking consumer behaviour, all travel modes, and different travel time components into account. The measure is more accurate than those used in previous studies and it is consistent with cost–benefit analyses (CBA). We find a negative relationship, which is more pronounced for low-educated workers, between changes in labour market accessibility and changes in unemployment. Handle: RePEc:tpe:jtecpo:2017:51:1:47--73 Template-Type: ReDIF-Article 1.0 Title: Container Port Pricing Structure: A Vertical Market Model Journal: Journal of Transport Economics and Policy Author-Name: Leonardo J. Basso Author-Name: Sergio Jara-Díaz Author-Name: José Muñoz-Figueroa Year: 2017 Volume: 51 Issue: 2 Pages: 75--94 File-URL: https://www.jstor.org/stable/90005816 Abstract: Abstract A three-stage game is used to model interactions between users, a shipping company, and a container port. Emphasis is placed on modelling the many services provided and priced by a port in order to compare pricing structures and price levels, and the subsequent division of surplus between agents under different port objectives (profit maximisation, efficiency, and second best). We find a strong trade-off between the benefits of the shipping company and those of the port, where the access price (a proxy for a fixed fee) is the preferred instrument to extract/inject surplus, while the other prices induce desired behaviours downstream. Handle: RePEc:tpe:jtecpo:2017:51:2:75--94 Template-Type: ReDIF-Article 1.0 Title: Heterogeneous Rebound Effects in Individual Mobility: Evidence from German Households Journal: Journal of Transport Economics and Policy Author-Name: Manuel Frondel Author-Name: Fernanda Martinez Flores Author-Name: Colin Vance Year: 2017 Volume: 51 Issue: 2 Pages: 95--114 File-URL: https://www.jstor.org/stable/90005817 Abstract: Abstract This article investigates heterogeneity in the direct rebound effect of individual mobility using discrete-continuous models. After deriving formulae for the marginal effects obtained from these selection correction approaches, we estimate a joint model of automobile ownership and distance driven to quantify the rebound effect — the behaviourally induced increase in driving that results from higher fuel economy. Our findings suggest that 30–80 per cent of the emissions reduction from an efficiency improvement is lost to increased driving. The magnitude of this range indicates that estimates of the climate impacts from technological change should take the rebound effect into account. Handle: RePEc:tpe:jtecpo:2017:51:2:95--114 Template-Type: ReDIF-Article 1.0 Title: A New Airport Demand Management Approach Based on Targeted Scheduling Interventions Journal: Journal of Transport Economics and Policy Author-Name: Alexandre Jacquillat Author-Name: Amedeo R. Odon Year: 2017 Volume: 51 Issue: 2 Pages: 115--138 File-URL: https://www.jstor.org/stable/90005818 Abstract: Abstract This paper proposes a Targeted Scheduling Interventions (TSI) approach to airport demand management, which quantifies and optimises the trade-off between air traffic delays and interference with airline scheduling. TSI provides flight schedules that meet level-of-service targets while minimising displacement from airline preferences, subject to scheduling, network connectivity, and operating capacity constraints. It results in better on-time performance than the unrestricted approach applied at almost all US airports, and better matching of airline preferences than schedule coordination applied outside the United States. TSI can be extended to capture additional policy objectives or practical requirements, and is well suited to collaborative decision-making. Handle: RePEc:tpe:jtecpo:2017:51:2:115--138 Template-Type: ReDIF-Article 1.0 Title: Heterogeneity Unobserved and Efficiency: A Latent Class Model for West Coast of South Pacific Port Terminals Journal: Journal of Transport Economics and Policy Author-Name: Víctor Chang Author-Name: Beatriz Tovar Year: 2017 Volume: 51 Issue: 2 Pages: 139--156 File-URL: https://www.jstor.org/stable/90005819 Abstract: Abstract We measure the technical efficiency of Peruvian and Chilean port terminals by taking into account the existence of unobserved heterogeneity within the sample. We follow a Latent Class Stochastic Frontier Model (LCSFM), in order to account for possible technological differences among terminals. We will also identify whether a successful reform process has contributed to attracting investment that has rapidly expanded the infrastructure and new technology. The results of this paper show that LCSFM, with two classes, fits the unobserved heterogeneity better than the four Standard Stochastic Frontier Models (SSFMs) that we used as alternatives. Handle: RePEc:tpe:jtecpo:2017:51:2:139--156 Template-Type: ReDIF-Article 1.0 Title: Does a Gas Tax Cut Reduce Retail Fuel Prices? Journal: Journal of Transport Economics and Policy Author-Name: Raúl Bajo-Buenestado Year: 2017 Volume: 51 Issue: 3 Pages: 157--172 File-URL: https://www.jstor.org/stable/90014758 Abstract: Abstract Using a data set of daily prices for four types of fuels from 38 gas stations located in Northern Spain we perform a differences-in-differences analysis to explore the impact of a gas tax reduction on prices at the pump. We find that about 60–65 per cent of the tax cut was passed on to regular unleaded gasoline retail prices. We also find evidence of full shifting of the tax cut to regular diesel and premium fuel prices in the week of the tax reform and one week after. However, this impact disappears two weeks after the adoption of the tax reform. Handle: RePEc:tpe:jtecpo:2017:51:3:157--172 Template-Type: ReDIF-Article 1.0 Title: Do Larger Ships Visit Fewer Regions/Ports? An Empirical Analysis on Global Liners Serving China Journal: Journal of Transport Economics and Policy Author-Name: Xiaofan Wu Author-Name: Meifeng Luo Author-Name: Anming Zhang Year: 2017 Volume: 51 Issue: 3 Pages: 173--192 File-URL: https://www.jstor.org/stable/90014759 Abstract: Abstract We study empirically how global carriers determine the regions to serve and the number of port calls on the Chinese coast, based on service schedules in 2011–15. Increasing ship size, within a certain range, leads to more clusters/ports visited. Beyond that, container ships visit fewer clusters, not necessarily fewer ports. Therefore, even if two ports are very close, as long as they are efficient, they may both be called at in a service. This signifies the difference between the hub-and-spoke structure in liner shipping and that in aviation, where it is unnecessary to have two hubs in the same place. Handle: RePEc:tpe:jtecpo:2017:51:3:173--192 Template-Type: ReDIF-Article 1.0 Title: Pipeline Performance and Safety in a Federal System: A Study of Natural Gas Pipeline Enforcement by States in the USA Journal: Journal of Transport Economics and Policy Author-Name: Sarah L. Stafford Year: 2017 Volume: 51 Issue: 3 Pages: 193--207 File-URL: https://www.jstor.org/stable/90014760 Abstract: Abstract This article analyses the role that US states play in enforcing federal natural gas pipeline regulations. The paper finds that states are more likely to have responsibility for enforcing these regulations if they have larger networks of gathering and transmission lines and if their citizens are more liberal and more pro-environment. Conversely, states with a larger natural gas industry are less likely to assume oversight. However, whether a state has assumed oversight has no significant effect on either state enforcement efforts or pipeline performance. The most effective state enforcement tool is monetary penalties, which significantly decrease incidents and property damage. Handle: RePEc:tpe:jtecpo:2017:51:3:193--207 Template-Type: ReDIF-Article 1.0 Title: An Augmented Gravity Model for Forecasting Passenger Air Traffic on City-pair Routes Journal: Journal of Transport Economics and Policy Author-Name: Tim Hazledine Year: 2017 Volume: 51 Issue: 3 Pages: 208--224 File-URL: https://www.jstor.org/stable/90014761 Abstract: Abstract Demand and supply for commercial air travel are not independent. A more popular route allows airlines to increase the number of non-stop flights, which further shifts demand. Forecasting future air travel demand on inter-city routes requires distinguishing endogenous and exogenous determinants of service quality. The paper presents successful econometric estimates of gravity-based models of passenger numbers with subsidiary models of (a) price (controlling for airline competition), (b) provision of non-stop services, and (c) frequency of daily flights, for two markets: cross-border flights between Canada and the USA, and domestic air travel within New Zealand. Handle: RePEc:tpe:jtecpo:2017:51:3:208--224 Template-Type: ReDIF-Article 1.0 Title: The Economics of Sub-optimal Policies for Traffic Congestion Journal: Journal of Transport Economics and Policy Author-Name: Claudio R. Lucinda Author-Name: Rodrigo M. S. Moita Author-Name: Leandro G. Meyer Author-Name: Bruno A. Ledo Year: 2017 Volume: 51 Issue: 4 Pages: 225--248 File-URL: https://www.jstor.org/stable/90014764 Abstract: Abstract Economics prescribes a congestion tax to alleviate the negative effects of traffic congestion. However, traffic congestion is a pervasive problem in cities and a tax is seldom applied. Why? To answer this question, we estimate and simulate the welfare and traffic effects of a congestion tax and a licence plate restriction — a less attractive policy for economists, but far more used in practice. The tax performs better on aggregate. However, while the tax spreads its burden more evenly across the population, the restriction concentrates losses on a smaller group, and has little effect on the rich. These results support both a majority voting and an ‘elite capture’ argument in favour of the licence plate restriction. Handle: RePEc:tpe:jtecpo:2017:51:4:225--248 Template-Type: ReDIF-Article 1.0 Title: Emissions Trading and Taxes: An Application to Airport Investment Appraisals Journal: Journal of Transport Economics and Policy Author-Name: D. Jorge-Calderón Author-Name: P.-O. Johansson Year: 2017 Volume: 51 Issue: 4 Pages: 249--265 File-URL: https://www.jstor.org/stable/90014765 Abstract: Abstract A key issue in a cost–benefit assessment of an expansion of an airport is its impact on emissions of greenhouse gases. Both taxes and tradable permits can be used to put a price tag on emissions, but practitioners disagree on how to handle permits. Therefore, the paper offers a section clarifying how to handle permits in cost–benefit analysis, with a more formal treatment in the Appendix. The paper also discusses the impact on the outcome of the evaluation of alternative assumptions regarding how greenhouse gases are internalised. Both optimal Pigouvian taxes and tradable permits are considered. Handle: RePEc:tpe:jtecpo:2017:51:4:249--265 Template-Type: ReDIF-Article 1.0 Title: Demand Shocks, Airline Pricing, and High-speed Rail Substitution: Evidence from the Chinese Market Journal: Journal of Transport Economics and Policy Author-Name: Feng Wei Author-Name: Jihui Chen Author-Name: Lan Zhang Year: 2017 Volume: 51 Issue: 4 Pages: 266--289 File-URL: https://www.jstor.org/stable/90014766 Abstract: Abstract We study the high-speed rail (HSR) substitution for air travel through the demand shocks triggered by two events: the launch of Beijing–Shanghai high-speed railways (the Jing-hu HSRs) and theWenzhou train accident. Using a difference-in-difference approach, we find that, compared to those in the control group, mean airfares for routes along the Jing-hu HSRs decline by 30.6 per cent upon the launch, but rebound by 27.6 per cent following the accident. Furthermore, the two events have a larger impact on low-cost carriers and regional airlines, on tourism routes, and on flights that depart during evening hours than their counterparts. Handle: RePEc:tpe:jtecpo:2017:51:4:266--289 Template-Type: ReDIF-Article 1.0 Title: Airport Cities and Multiproduct Pricing Journal: Journal of Transport Economics and Policy Author-Name: Tiziana D’Alfonso Author-Name: Valentina Bracaglia Author-Name: Yulai Wan Year: 2017 Volume: 51 Issue: 4 Pages: 290--312 File-URL: https://www.jstor.org/stable/90014767 Abstract: Abstract We study pricing of aviation and non-aviation products in a private monopolistic airport city and model two features. First, non-aviation goods are demanded by both air travellers and non-travellers. Second, the utility from consuming non-aviation goods may depend on whether the consumer travels or not. The impacts of these features on optimal aviation and non-aviation charges would depend on whether individuals foresee the utility of non-aviation goods or not while deciding to buy air tickets. It is profit maximising and welfare enhancing to manipulate the non-aviation product mix in a way that raises the extra surplus gained by travellers. Handle: RePEc:tpe:jtecpo:2017:51:4:290--312 Template-Type: ReDIF-Article 1.0 Title: The Economic Inefficiency of Travel Passes Under Crowding Externalities and Endogenous Capacity Journal: Journal of Transport Economics and Policy Author-Name: Daniel Hörcher Author-Name: Daniel J. Graham Author-Name: Richard J. Anderson Year: 2018 Volume: 52 Issue: 1 Pages: 1--22 File-URL: https://www.jstor.org/stable/90016281 Abstract: Abstract Travel passes provide benefits for frequent travellers as well as financially constrained public transport operators, who thus can price discriminate and generate revenues efficiently. This paper argues that the presence of crowding externalities may neutralise the welfare benefits of travel pass provision, because a zero marginal fare after an initial entry payment leads to inevitable overconsumption. Therefore, only severely under-subsidised welfare maximising operators should supply season tickets. We show that the ignorance of crowding externalities and a demand maximising (political) objective may be two potential explanations why travel passes are still widely used in public transport. Handle: RePEc:tpe:jtecpo:2018:52:1:1--22 Template-Type: ReDIF-Article 1.0 Title: Price Dispersion, Competition, and Efficiency: Evidence from Chicago-Based Routes Journal: Journal of Transport Economics and Policy Author-Name: Levent Kutlu Author-Name: Ran Wang Year: 2018 Volume: 52 Issue: 1 Pages: 23--44 File-URL: https://www.jstor.org/stable/90016282 Abstract: Abstract In this study, we analyse the determinants of airline price dispersion. We particularly concentrate on the relationship between the conduct (a proxy for market power) and marginal cost efficiency. The effect of conduct on price dispersion seems to depend on the characteristics of the market. For the big city routes, conduct has a positive effect on price dispersion, and for the leisure routes, the effect is negative. Also, we find that marginal cost efficiency has a negative effect on price dispersion. Handle: RePEc:tpe:jtecpo:2018:52:1:23--44 Template-Type: ReDIF-Article 1.0 Title: Pricing Overland Freight Transport to Account for External Costs Journal: Journal of Transport Economics and Policy Author-Name: David Austin Year: 2018 Volume: 52 Issue: 1 Pages: 45--67 File-URL: https://www.jstor.org/stable/90016283 Abstract: Abstract In US overland freight transport, external costs per ton-mile are around eight times higher for trucks than for rail, and average around 20 per cent and 11 per cent of shipping costs for the respective modes. Internalising those costs via a tax on payload weight, distance, and fuel would have induced, in 2007 data, a 3.1 per cent shift of ton-miles from truck to rail and a 0.7 per cent decrease in total tons shipped, reducing external costs by more than $2 billion annually. A simpler tax on distance alone would have achieved similar outcomes at a much lower cost. Handle: RePEc:tpe:jtecpo:2018:52:1:45--67 Template-Type: ReDIF-Article 1.0 Title: On the Uncertainty in the Economic Valuation of Carbon Emissions from Transport Journal: Journal of Transport Economics and Policy Author-Name: Silvio Nocera Author-Name: Olga Irranca Galati Author-Name: Federico Cavallaro Year: 2018 Volume: 52 Issue: 1 Pages: 68--94 File-URL: https://www.jstor.org/stable/90016284 Abstract: Abstract This paper discusses the economic valuation of the impacts on climate change from transport. Different studies have dealt with this topic (technical assessments, guidelines, and aggregate models). They show a large interval, which is mostly caused by the numerous uncertainties categorised according to whether they are of a technical, economic, or decisional nature. As long as the value of GHG emissions is not differentiated between sectors, a fair carbon evaluation for transport cannot be provided. To this aim, a mesoscopic approach to set the policy implications and the targets achievable by the transport sector can be a valid solution. Handle: RePEc:tpe:jtecpo:2018:52:1:68--94 Template-Type: ReDIF-Article 1.0 Title: A New Role for Cost-Benefit Analysis in Transportation Infrastructure Investment Journal: Journal of Transport Economics and Policy Author-Name: David Lewis Author-Name: Ian Currie Year: 2018 Volume: 52 Issue: 2 Pages: 95--112 File-URL: https://www.jstor.org/stable/90019705 Abstract: Encouraging greater reliance on cost-benefit analysis (CBA) as the organising framework for facilitating discursive democratic procedures is an area in which governments can reinvigorate their role in the development of transportation infrastructure and physical infrastructure in general. Examining the microeconomic foundations of the traditional CBA framework, we find them too narrow to support the promise of CBA as a useful tool to help arrive at evidentiary consensus, and, potentially, community consensus, on major transportation infrastructure projects. CBA requires an integration of advances in welfare economics, probability, discourse theory, and capability analysis. Potential implications for government infrastructure policies are explored. Handle: RePEc:tpe:jtecpo:2018:52:2:95--112 Template-Type: ReDIF-Article 1.0 Title: The Impact of Economic Regulation on the Efficiency of European Railway Systems Journal: Journal of Transport Economics and Policy Author-Name: Andrew S. J. Smith Author-Name: Valerio Benedetto Author-Name: Chris Nash Year: 2018 Volume: 52 Issue: 2 Pages: 113--136 File-URL: https://www.jstor.org/stable/90019706 Abstract: In recent years, European railway regulation has been subject to major reform, with the powers, independence, and responsibilities of rail regulators across Europe strengthened considerably. We study the impact of these reforms on the efficiency levels of a panel of 17 European railways (2002–10). The novelty lies in the incorporation of a multi-dimensional rail regulation index — capturing the complexity of regulatory powers and activities — into an econometric framework alongside other reform variables. Our results suggest that the cost-reducing benefits of regulatory reform depend on the degree of (actual or desired) market openness, vertical structure, and the intensity of network usage. Handle: RePEc:tpe:jtecpo:2018:52:2:113--136 Template-Type: ReDIF-Article 1.0 Title: Port Terminal Concessions: Towards a Dynamic Concession Fee Journal: Journal of Transport Economics and Policy Author-Name: Claudio Ferrari Author-Name: Pier Paolo Puliafito Author-Name: Alessio Tei Year: 2018 Volume: 52 Issue: 2 Pages: 137--156 File-URL: https://www.jstor.org/stable/90019707 Abstract: Ports are key nodes of the transport networks and their efficiency is strategic for regional competitiveness. Port operations are performed by a heterogeneous group of market players — in the landlord system, stevedore activities are performed in public port spaces that have been used exclusively by operators for several decades. Within this framework, several authors have discussed how differentiated rules within the concession agreements might contribute to increasing terminal performance. Despite this, few authors discuss the introduction of performance clauses in the concession agreements. Current research introduces a dynamic concession fee evaluation method and applies it to a case study. Handle: RePEc:tpe:jtecpo:2018:52:2:137--156 Template-Type: ReDIF-Article 1.0 Title: Estimating the Cross-price Elasticity of Regular Gasoline with Respect to the Price of Premium Gasoline Journal: Journal of Transport Economics and Policy Author-Name: Muhammad Akimaya Author-Name: Carol A. Dahl Year: 2018 Volume: 52 Issue: 2 Pages: 157--180 File-URL: https://www.jstor.org/stable/90019708 Abstract: Gasoline demand has been extensively researched, yet there has been no attempt to estimate cross-price elasticities of different grades of gasoline. Such knowledge will allow accurate determination of the impact of a fuel pricing policy that has different rates of tax or subsidy depending on the gasoline grade. Using monthly data on the Mexican gasoline market from 1999 to 2014, regular gasoline demand is estimated with an ARDL model. Endogeneity of the price and structural break are also investigated. The cross-price elasticity between regular and premium gasoline is found to be 0.875, confirming high substitutability among gasoline with different grades. Handle: RePEc:tpe:jtecpo:2018:52:2:157--180 Template-Type: ReDIF-Article 1.0 Title: Congestion Charges and Labour Market Imperfections Journal: Journal of Transport Economics and Policy Author-Name: Christer Anderstig Author-Name: Svante Berglund Author-Name: Jonas Eliasson Author-Name: Matts Andersson Year: 2016 Volume: 50 Issue: 2 Pages: 113--131 File-URL: https://www.jstor.org/stable/jtranseconpoli.50.2.0113 Abstract: Standard cost–benefit analyses of transport policy measures will not capture all benefits and losses if there are labour market imperfections. In the case of congestion charges, theoretical analyses have raised concerns that these effects may constitute considerable losses, possibly to the extent that aggregate welfare is reduced, contrary to conventional wisdom. We investigate this by estimating the effects on labour income of the Stockholm congestion charges, using an estimated relationship between accessibility and income. Results show that effects on labour income are, in fact, positive. It turns out to be crucial that the model accounts for value-of-time heterogeneity. Handle: RePEc:tpe:jtecpo:2016:50:2:113--131 Template-Type: ReDIF-Article 1.0 Title: Is Vehicle Depreciation a Component of Marginal Travel Cost? A Literature Review and Empirical Analysis Journal: Journal of Transport Economics and Policy Author-Name: Derrick Hang Author-Name: Daniel McFadden Author-Name: Kenneth Train Author-Name: Ken Wise Year: 2016 Volume: 50 Issue: 2 Pages: 132--150 File-URL: https://www.jstor.org/stable/jtranseconpoli.50.2.0132 Abstract: A review of 116 travel cost models finds that, of the studies that report their practice, about half include depreciation in their calculation of vehicle costs and half do not, with none giving a justification for either approach. We examine empirically whether depreciation is related to households' decisions of how much to drive. Using a sample of over 200,000 US households, we find that, relative to fuel costs, depreciation has a small effect on the amount that households drive. This finding is consistent with households' considering depreciation as primarily a fixed rather than marginal cost. Handle: RePEc:tpe:jtecpo:2016:50:2:132--150 Template-Type: ReDIF-Article 1.0 Title: EU Slot Policy at Congested Hubs, and Incentives to Add Capacity Journal: Journal of Transport Economics and Policy Author-Name: David Gillen Author-Name: David Starkie Year: 2016 Volume: 50 Issue: 2 Pages: 151--163 File-URL: https://www.jstor.org/stable/jtranseconpoli.50.2.0151 Abstract: We examine the slot management regime used in congested EU airports and investigate how it might, in the short run, lead to inefficient outcomes and, in the long run, discourage support for expanding airport capacity. The EU Regulation limiting incumbent airlines' access to newly available slots exacerbates incumbents' reluctance to support runway capacity expansion since they would lose market share and scarcity rents. The paper illustrates this using the debate concerning runway expansion at London Heathrow and Gatwick. It concludes by suggesting only the taxation of rents is likely to alter incumbent airlines' opposition to expansion of congested hubs. Handle: RePEc:tpe:jtecpo:2016:50:2:151--163 Template-Type: ReDIF-Article 1.0 Title: Deregulation, Competition, and Consolidation: The Case of the German Interurban Bus Industry Journal: Journal of Transport Economics and Policy Author-Name: Niklas S. Dürr Author-Name: Sven Heim Author-Name: Kai Hüschelrath Year: 2016 Volume: 50 Issue: 2 Pages: 164--188 File-URL: https://www.jstor.org/stable/jtranseconpoli.50.2.0164 Abstract: We make use of a unique route-level price data set of the recently deregulated German interurban bus industry to study both competitive interaction in general, and the potential price effects of a merger between the two largest players in particular. We find that route-level average prices, inter alia, depend not only on the number of competitors, but especially on the composition of firms operating on a particular route. Although our empirical results suggest short-term price increases on certain route types post-merger, it remains an open question whether the merger should be classified as anticompetitive. Handle: RePEc:tpe:jtecpo:2016:50:2:164--188 Template-Type: ReDIF-Article 1.0 Title: Unsteady Progress: Reform of the Aviation Industry in Fiji Journal: Journal of Transport Economics and Policy Author-Name: Subhash Appana Author-Name: Malcolm Abbott Year: 2016 Volume: 50 Issue: 2 Pages: 189--204 File-URL: https://www.jstor.org/stable/jtranseconpoli.50.2.0189 Abstract: In a country dependent on international tourism, the structure and performance of the civil aviation industry — in the South Pacific island nation of Fiji — is an important economic, political, and social issue. In 1999 the industry, with some controversy, was substantially reformed. This paper will trace the events of the reform process and then evaluate the performance of the major commercial entity that was created by the process: Airports Fiji Limited. Despite the controversial nature of the reform, and chequered performance of the company, after an interval of time, the performance of the industry did improve. Handle: RePEc:tpe:jtecpo:2016:50:2:189--204 Template-Type: ReDIF-Article 1.0 Title: An Analysis of the Role Played by Habits in Urban Transportation: Insights from Veblenian Evolutionary Economics Journal: Journal of Transport Economics and Policy Author-Name: Kevin Maréchal Year: 2016 Volume: 50 Issue: 2 Pages: 205--221 File-URL: https://www.jstor.org/stable/jtranseconpoli.50.2.0205 Abstract: This paper intends to provide a complementary account of the importance of habits in transportation behaviour. The study looks at the respective influence of the different dimensions that characterise habits, using Veblenian Evolutionary Economics (VEE) as the analytical perspective. The data come from a field experiment in two districts of Brussels, where new residents were given free passes for public transport. Confirming that habits are perceived as a strong driver of modal choice, our results also provide complementary evidence regarding the precise influence of habit strength. Most notably, the extent of effort required seems to play a major role. Handle: RePEc:tpe:jtecpo:2016:50:2:205--221