Logsums for utility-maximizers and regret-minimizers,and their relation with desirability and satisfaction

This paper studies to what extent the Logsum-measure of user benefits relates to travelers’ perceptions of choice set-desirability and choice-satisfaction. Knowing these relations is important since researchers have recently started to analyze and interpret user benefits in general – and Logsums in specific – in terms of these more behaviorally oriented notions, rather than in terms of expected utility. Participants to a stated route choice experiment were asked to indicate, after each choice made, to what extent they considered the choice set to be desirable, or to what extent they were satisfied with the chosen alternative. These measurements were correlated with Logsums that were computed for each choice situation. In addition, the paper derives a regret-based Logsum (which gives the expected regret of a choice situation) and presents a comparison with its utilitarian counterpart. Also for this regret-based Logsum, correlations with desirability- and satisfaction-ratings are computed. As a general finding, it appears that all computed correlations are rather weak. This suggests that, at least in the context of our data, the utility-based Logsum and its regret-based counterpart appear to have only a fairly weak connection with the behavioral notions of choice set-desirability and choice-satisfaction.     

Random regret minimization or random utility maximization: an exploratory analysis in the context of automobile fuel choice

Interest in alternative behavioural paradigms to random utility maximization (RUM) has existed ever since the dominance of the RUM formulation. One alternative is known as random regret minimization (RRM), which suggests that when choosing between alternatives, decision makers aim to minimize anticipated regret. Although the idea of regret is not new, its incorporation into the same discrete choice framework of RUM is very recent. This paper is the first to apply the RRM‐model framework to model choice amongst durable goods. Specifically, we estimate and compare the RRM and RUM models in a stated choice context of choosing amongst vehicles fuelled with petrol, diesel and hybrid (associated with specific levels of fuel efficiency and engine capacity). The RRM model is found to achieve a marginally better fit (using a non‐nested test of differences) than its equally parsimonious RUM counterpart. As a second contribution, we derive a formulation for regret‐based elasticities and compare utility‐based and regret‐based elasticities in the context of stated vehicle type choices. We find that in the context of our choice data, mean estimates of elasticities are different for many of the attributes and alternatives. Copyright © 2011 John Wiley & Sons, Ltd.     

On the role of bridges as anchor points in route choice modeling

This work builds upon the thought that individuals allocate higher levels of importance to some particular features of the route, so called anchor points. Previous route choice models have either ignored the effects of anchor points (route-based models), or have given an exclusive attention to their effects and ignored the behavioral accuracy and practicality of these models (anchor-based models). In this work we argue that the consideration of both route-level attributes and anchor points would enhance the behavioral aspect of route choice models as well as their estimation and prediction abilities. Global Positioning System traces have been used to investigate the effect of bridges as anchor points for trips between Montreal and its Northern suburb, Laval. A classic Nested Logit and a nested Logit Kernel model have been estimated, in which interdependencies among routes crossing the same bridge are captured through the nested structure and the adopted factor analytic approach, respectively. A Metropolis–Hastings path-sampling algorithm is applied, for the first time, on a large road network with more than 40,000 nodes and 19,000 links to provide the consideration choice set. Estimates are then compared to three alternate models, representing route-based and anchor-based formulations; namely Path-Size Logit, Extended Path-Size Logit, and Independent Availability Logit models. Empirical results showed that the proposed nested structures with MH sampling provide better estimates and also perform better in the validation step with respect to comparative models. Findings underscore the importance of considering anchor points in conjunction with route level attributes in route choice decisions.     

New insights on random regret minimization models

This paper develops new methodological insights on Random Regret Minimization (RRM) models. It starts by showing that the classical RRM model is not scale-invariant, and that – as a result – the degree of regret minimization behavior imposed by the classical RRM model depends crucially on the sizes of the estimated taste parameters in combination with the distribution of attribute-values in the data. Motivated by this insight, this paper makes three methodological contributions: (1) it clarifies how the estimated taste parameters and the decision rule are related to one another; (2) it introduces the notion of “profundity of regret”, and presents a formal measure of this concept; and (3) it proposes two new family members of random regret minimization models: the μRRM model, and the Pure-RRM model. These new methodological insights are illustrated by re-analyzing 10 datasets which have been used to compare linear-additive RUM and classical RRM models in recently published papers. Our re-analyses reveal that the degree of regret minimizing behavior imposed by the classical RRM model is generally very limited. This insight explains the small differences in model fit that have previously been reported in the literature between the classical RRM model and the linear-additive RUM model. Furthermore, we find that on 4 out of 10 datasets the μRRM model improves model fit very substantially as compared to the RUM and the classical RRM model.     

Stated choices and benefit estimates in the context of traffic calming schemes: Utility maximization,regret minimization,or both?

This paper proposes a discrete mixture model which assigns individuals, up to a probability, to either a class of random utility (RU) maximizers or a class of random regret (RR) minimizers, on the basis of their sequence of observed choices. Our proposed model advances the state of the art of RU–RR mixture models by (i) adding and simultaneously estimating a membership model which predicts the probability of belonging to a RU or RR class; (ii) adding a layer of random taste heterogeneity within each behavioural class; and (iii) deriving a welfare measure associated with the RU–RR mixture model and consistent with referendum-voting, which is the adequate mechanism of provision for such local public goods. The context of our empirical application is a stated choice experiment concerning traffic calming schemes. We find that the random parameter RU–RR mixture model not only outperforms its fixed coefficient counterpart in terms of fit—as expected—but also in terms of plausibility of membership determinants of behavioural class. In line with psychological theories of regret, we find that, compared to respondents who are familiar with the choice context (i.e. the traffic calming scheme), unfamiliar respondents are more likely to be regret minimizers than utility maximizers.     

Sampling of alternatives for route choice modeling

This paper presents a new paradigm for choice set generation in the context of route choice model estimation. We assume that the choice sets contain all paths connecting each origin–destination pair. Although this is behaviorally questionable, we make this assumption in order to avoid bias in the econometric model. These sets are in general impossible to generate explicitly. Therefore, we propose an importance sampling approach to generate subsets of paths suitable for model estimation. Using only a subset of alternatives requires the path utilities to be corrected according to the sampling protocol in order to obtain unbiased parameter estimates. We derive such a sampling correction for the proposed algorithm.Estimating models based on samples of alternatives is straightforward for some types of models, in particular the multinomial logit (MNL) model. In order to apply MNL for route choice, the utilities should also be corrected to account for the correlation using, for instance, a path size (PS) formulation. We argue that the PS attribute should be computed based on the full choice set. Again, this is not feasible in general, and we propose a new version of the PS attribute derived from the sampling protocol, called Expanded PS.Numerical results based on synthetic data show that models including a sampling correction are remarkably better than the ones that do not. Moreover, the Expanded PS shows good results and outperforms models with the original PS formulation.     

Park-and-ride lot choice model using random utility maximization and random regret minimization

This research aims to understand the park-and-ride (PNR) lot choice behaviour of users i.e., why PNR user choose one PNR lot versus another. Multinomial logit models are developed, the first based on the random utility maximization (RUM) concept where users are assumed to choose alternatives that have maximum utility, and the second based on the random regret minimization (RRM) concept where users are assumed to make decisions such that they minimize the regret in comparison to other foregone alternatives. A PNR trip is completed in two networks, the auto network and the transit network. The travel time of users for both the auto network and the transit network are used to create variables in the model. For the auto network, travel time is obtained using information from the strategic transport network using EMME/4 software, whereas travel time for the transit network is calculated using Google’s general transit feed specification data using a backward time-dependent shortest path algorithm. The involvement of two different networks in a PNR trip causes a trade-off relation within the PNR lot choice mechanism, and it is anticipated that an RRM model that captures this compromise effect may outperform typical RUM models. We use two forms of RRM models; the classical RRM and µRRM. Our results not only confirm a decade-old understanding that the RRM model may be an alternative concept to model transport choices, but also strengthen this understanding by exploring differences between two models in terms of model fit and out-of-sample predictive abilities. Further, our work is one of the few that estimates an RRM model on revealed preference data.

     

Route choice preferences: insights from Portuguese freight forwarders and truck drivers

ABSTRACT

Exploring route choice in the context of tolled alternatives can support road operators to achieve better utilization of the infrastructure, as well as maximizing revenue collection. The research presented in this paper is conducted in the context of OPTIMUM, a European Union-funded project. The research objectives include a two-component system of models that proactively calculates commercial vehicles’ toll prices. The component presented in this paper rests on the development of a route choice model that estimates the probabilities of using two alternative routes (toll road vs. national road), based on route attributes and user characteristics. To explore the usefulness of the proposed methodology a case study involving 50 truck drivers and 25 freight operators was conducted in Portugal between January 2016 and November 2017. Results from the route choice model reveal interesting insights about the role of incentives in the choice of toll roads, the perspectives of the different decision-makers and produce Values of Time for the study area.     

Route Choice Models Used in the Stochastic User Equilibrium Problem: A Review

Several route choice models are reviewed in the context of the stochastic user equilibrium problem. The traffic assignment problem has been extensively studied in the literature. Several models were developed focusing mainly on the solution of the link flow pattern for congested urban areas. The behavioural assumption governing route choice, which is the essential part of any traffic assignment model, received relatively much less attention. The core of any traffic assignment method is the route choice model. In the wellknown deterministic case, a simple choice model is assumed in which drivers choose their best route. The assumption of perfect knowledge of travel costs has been long considered inadequate to explain travel behaviour. Consequently, probabilistic route choice models were developed in which drivers were assumed to minimize their perceived costs given a set of routes. The objective of the paper is to review the different route choice models used to solve the traffic assignment problem. Focus is on the different model structures. The paper connects some of the route choice models proposed long ago, such as the logit and probit models, with recently developed models. It discusses several extensions to the simple logit model, as well as the choice set generation problem and the incorporation of the models in the assignment problem.     

An empirical comparison of travel choice models that capture preferences for compromise alternatives

Compromise alternatives have an intermediate performance on each or most attributes rather than having a poor performance on some attributes and a strong performance on others. The relative popularity of compromise alternatives among decision-makers has been convincingly established in a wide range of decision contexts, while being largely ignored in travel behavior research. We discuss three (travel) choice models that capture a potential preference for compromise alternatives. One approach, which is introduced in this paper, involves the construction of a so-called compromise variable which indicates to what extent (i.e., on how many attributes) a given alternative is a compromise alternative in its choice set. Another approach consists of the recently introduced random regret-model form, where the popularity of compromise alternatives emerges endogenously from the regret minimization-based decision rule. A third approach consists of the contextual concavity model, which is known for favoring compromise alternatives by means of a locally concave utility function. Estimation results on a stated route choice dataset show that, in terms of model fit and predictive ability, the contextual concavity and random regret models appear to perform better than the model that contains an added compromise variable.     

Context-dependent influence of road attributes and pricing policies on route choice behavior of truck drivers: results of a conjoint choice experiment

In this paper, we report the results of a stated choice experiment, which was conducted to examine truck drivers?? route choice behavior. Of particular interest are the questions (i) what is the relative importance of road accessibility considerations via-a-vis traditional factors influencing route choice behavior, (ii) what are the influences of particular personal and situational variables on the evaluation of route attributes, (iii) how sensitive are truck drivers for possible pricing policies, and (iv) is there a difference in impact if environmental concerns are framed as a bonus or as a pricing instrument. The main findings indicate that road accessibility characteristics have a substantial impact on route preferences which is of the same order of magnitude as variation in travel times. This suggests that provision of adequate travel information in itself can be an effective instrument to prevent negative externalities of good transport associated with shortest routes. Furthermore, the results indicate that truck drivers/route planners when choosing a route are relatively sensitive to road pricing schemes and rather insensitive to environmental bonuses.     

A path-size weibit stochastic user equilibrium model

The aim of this paper is to develop a path-size weibit (PSW) route choice model with an equivalent mathematical programming (MP) formulation under the stochastic user equilibrium (SUE) principle that can account for both route overlapping and route-specific perception variance problems. Specifically, the Weibull distributed random error term handles the identically distributed assumption such that the perception variance with respect to different trip lengths can be distinguished, and a path-size factor term is introduced to resolve the route overlapping issue by adjusting the choice probabilities for routes with strong couplings with other routes. A multiplicative Beckmann’s transformation (MBec) combined with an entropy term are used to develop the MP formulation for the PSW-SUE model. A path-based algorithm based on the partial linearization method is adopted for solving the PSW-SUE model. Numerical examples are also provided to illustrate features of the PSW-SUE model and its differences compared to some existing SUE models as well as its applicability on a real-size network.     

Incorporating Driver Behaviors in Network Design Problems: Challenges and Opportunities

The goal of a network design problem (NDP) is to make optimal decisions to achieve a certain objective such as minimizing total travel time or maximizing tolls collected in the network. A critical component to NDP is how travelers make their route choices. Researchers in transportation have adopted human decision theories to describe more accurate route choice behaviors. In this paper, we review the NDP with various route choice models: the random utility model (RUM), random regret-minimization (RRM) model, bounded rationality (BR), cumulative prospect theory (CPT), the fuzzy logic model (FLM) and dynamic learning models. Moreover, we identify challenges in applying behavioral route choice models to NDP and opportunities for future research.     

Specification of regret-based models of choice behaviour: formal analyses and experimental design based evidence

Travel behaviour analysis has recently witnessed a rapidly growing interest in regret-based models of choice behaviour. Two different model specifications have been introduced in the transportation literature. Chorus et al. (Transportation Research B 42: 1–18, 2008a; in: Proceedings 87th Annual Meeting of the Transportation Research Board, Washington DC, 2008b) specified regret as a (non) linear function of the difference between the best-foregone choice alternative and the chosen alternative. Later, as an approximation to the original specification, Chorus (2010) suggested a logarithm function of utility differences between all choice alternatives, mainly for ease of estimation. This paper makes two contributions to this literature. First, formal analyses are conducted to identify the parameter space where the logarithmic specification becomes theoretically inferior to the original specification. Second, an empirical stated choice study on the choice of shopping centre is conducted to empirically test which specification best describes stated choices. Results suggest that for the collected data the original specification outperforms the new specification. Implications of this finding for the application of regret-based choice models in travel behaviour analysis are discussed.     

Modeling absolute and relative cost differences in stochastic user equilibrium problem

This paper aims to develop a hybrid closed-form route choice model and the corresponding stochastic user equilibrium (SUE) to alleviate the drawbacks of both Logit and Weibit models by simultaneously considering absolute cost difference and relative cost difference in travelers’ route choice decisions. The model development is based on an observation that the issues of absolute and relative cost differences are analogous to the negative exponential and power impedance functions of the trip distribution gravity model. Some theoretical properties of the hybrid model are also examined, such as the probability relationship among the three models, independence from irrelevant alternatives, and direct and indirect elasticities. To consider the congestion effect, we provide a unified modeling framework to formulate the Logit, Weibit and hybrid SUE models with the same entropy maximization objective but with different total cost constraint specifications representing the modelers’ knowledge of the system. With this, there are two ways to interpret the dual variable associated with the cost constraint: shadow price representing the marginal change in the entropy level to a marginal change in the total cost, and dispersion/shape parameter representing the travelers’ perceptions of travel costs. To further consider the route overlapping effect, a path-size factor is incorporated into the hybrid SUE model. Numerical examples are also provided to illustrate the capability of the hybrid model in handling both absolute and relative cost differences as well as the route overlapping problem in travelers’ route choice decisions.     

Bike route choice modeling using GPS data without choice sets of paths

Concerned by the nuisances of motorized travel on urban life, policy makers are faced with the challenge of making cycling a more attractive alternative for everyday transportation. Route choice models can help achieve this objective by gaining insights into the trade-offs cyclists make when choosing their routes and by allowing the effect of infrastructure improvements to be analyzed. We estimate a link-based bike route choice model from a sample of GPS observations in the city of Eugene on a network comprising over 40,000 links. The so-called recursive logit (RL) model (Fosgerau et al., 2013) does not require to sample any choice set of paths. We show the advantages of this approach in the context of prediction by focusing on two applications of the model: link flows and accessibility measures. Compared to the path-based approach which requires to generate choice sets, the RL model proves to make significant gains in computational time and to avoid paradoxical accessibility measure results discussed in previous works, e.g. Nassir et al. (2014).     

Empirical test of a constrained choice discrete model: Mode choice in São Paulo,Brazil

This paper examines the properties and empirically tests a model of discrete choice which incorporates probabilistic choice set generation. Denominated the Parametrized Logit Captivity (PLC) model, it is a generalization of the well-known “dogit” specification. The PLC model is shown to be theoretically and empirically more flexible than the latter. Work mode choice data collected in a 1977 O/D survey in São Paulo, Brazil, is used to obtain parameter estimates, as well as to evaluate consumer reaction to a series of perturbations in travel time, travel cost and income, for both the PLC and Multinomial Logit models. Comparisons between the two specifications are made in terms of statistical fit, reasonableness of predictions and differences in predictions across models.     

Validating the results of a route choice simulator

This paper describes the validation of a route choice simulator known as VLADIMIR (Variable Legend Assessment Device for Interactive Measurement of Individual Route choice). VLADIMIR is an interactive computer-based tool designed to study drivers’ route choice behaviour. It has been extensively used to obtain data on route choice in the presence of information sources such as Variable Message Signs or In-Car Navigation devices. The simulator uses a sequence of digitized photographs to portray a real network with junctions, links, landmarks and road signs. Subject drivers are invited to make journeys between specified origins and destinations under a range of travel scenarios, during which the simulator automatically records their route choices. This paper describes validation experiments carried out during the period Summer 1994 to Autumn 1995 and reports on the results obtained. Each experiment involved a comparison of routes selected in real life with those driven under simulated conditions in VLADIMIR. The analysis included investigation of the subjects’ own assessment of the realism of the VLADIMIR routes they had chosen, a comparison of models based on the real life routes with models based on VLADIMIR routes, and a statistical comparison of the two sets of routes. After an extensive series of data collection exercises and analyses, we have concluded that a well designed simulator is able to replicate real life route choices with a very high degree of detail and accuracy. Not only was VLADIMIR able to precisely replicate the route choices of drivers who were familiar with the network but it also appears capable of representing the kind of errors made and route choice strategies adopted by less familiar drivers. Furthermore, evidence is presented to suggest that it can accurately replicate route choice responses to roadside VMS information.