A nonparametric approach to the incorporation of heterogeneity into repeated polytomous choice models of urban shopping behaviour

Longitudinal discrete choice models which use a mixing distribution to control for unobserved heterogeneity, and which are estimated by a nonparametric maximum likelihood mass point procedure, have so far been restricted to the analysis of dichotomous choices. This paper extends mass point methods to the case of polytomous choice problems and in so doing makes an important contribution to the analysis of longitudinal data and dynamic discrete choice models. The paper concludes with an empirical assessment of the performance of mass point methods in the analysis of urban shopping behaviour, using short-term panel data from the Cardiff Consumer Panel.     

Modelling the dynamics of bus use in a changing travel environment using panel data

Panel data offers the potential to represent the influence on travel choices of changing circumstances, past history and persistent individual differences (unobserved heterogeneity). A four-wave panel survey collected data on the travel choices of residents before and after the introduction of a new bus rapid transit service. The data shows gradual changes to bus use over the four waves, implying time was required for residents to become aware of the new service and to adapt to it. Ordered response models are estimated for bus use over the survey period. The results show that the influence of level of service (LOS) is underestimated if unobserved heterogeneity is not taken into account. The delayed response to the new service is able to be well represented by including LOS as a lagged variable. Current bus use is found to be conditioned on past bus use, but with additional influence of lagged LOS and unobserved heterogeneity. It is shown how different model specifications generate different evolution patterns with the most realistic predictions arising from a model which takes into account lagged responses to change in LOS and unobserved heterogeneity. The paper demonstrates the feasibility of developing panel data models that can be applied to forecasting the effect of interventions in the travel environment. Longer panels—encompassing periods of both stability and change—are required to support future efforts at modelling travel choice dynamics.     

An investigation of commuting trip timing and mode choice in the Greater Toronto Area: Application of a joint discrete-continuous model

The trip timing and mode choice are two critical decisions of individual commuters mostly define peak period traffic congestion in urban areas. Due to the increasing evidence in many North American cities that the duration of the congested peak travelling periods is expanding (peak spreading), it becomes necessary and natural to investigate these two commuting decisions jointly. In addition to being considered jointly with mode choice decisions, trip timing must also be modelled as a continuous variable in order to precisely capture peak spreading trends in a policy sensitive transportation demand model. However, in the literature to date, these two fundamental decisions have largely been treated separately or in some cases as integrated discrete decisions for joint investigation. In this paper, a discrete-continuous econometric model is used to investigate the joint decisions of trip timing and mode choice for commuting trips in the Greater Toronto Area (GTA). The joint model, with a multinomial logit model for mode choice and a continuous time hazard model for trip timing, allows for unrestricted correlation between the unobserved factors influencing these two decisions. Models are estimated by occupation groups using 2001 travel survey data for the GTA. Across all occupation groups, strong correlations between unobserved factors influencing mode choice and trip timing are found. Furthermore, the estimated model proves that it sufficiently captures the peak spreading phenomenon and is capable of being applied within the activity-based travel demand model framework.     

Towards a dynamic discrete-choice model of household automobile fleet size and composition

The emphasis on energy consumption in studies of traveller behaviour has led to increased interest in the development of policy sensitive models of automobile demand. In recognition of the fuller dimensions of automobile demand, a number of studies have considered choice amongst types of automobiles as well as number of automobiles. With rare exception, existing studies have concentrated on either type choice or number choice. In all instances the approach has been static. This paper develops a series of linked discrete-choice models to explain household automobile holdings (type and number) and adjustments in the holdings over time. The empirical study is part of an initial data effort leading up to the development of a full scale longitudinal panel of Sydney households. A model system based on a retrospective panel of 354 households, interviewed in 1980, is reported herein. The model is dynamic in the sense that it allows for prior decisions, brand loyalty and the costs of transacting.     

Effects of incorporating latent and attitudinal information in mode choice models

Abstract

Hybrid choice modelling approaches allow latent variables in mode choice utility functions to be addressed. However, defining attitude and behavior as latent variables is influenced by the researcher's assumptions. Therefore, it is better to capture the effects of latent behavioral and attitudinal factors as latent variables than defining behaviors and attitudes per se. This article uses a hybrid choice model for capturing such latent effects, which will herein be referred to as modal captivity effects in commuting mode choice. Latent modal captivity refers to the unobserved and apparently unexplained attraction towards a specific mode of transportation that is resulting from latent attitude and behavior of passengers in addition to the urban transportation system. In empirical models, the latent modal captivity variables are explained as functions of different observed variables. Empirical models show significant improvement in fitting observed data as well as improved understanding of travel behavior.     

Understanding variability,habit and the effect of long period activity plan in modal choices: a day to day,week to week analysis on panel data

Understanding variability in individual behaviour is crucial for the comprehension of travel patterns and for the development and evaluation of planning policies. But, with only one notable exception, there are no studies on the intrinsic variability in the individual preferences for mode choices in absence of external changes in the transport infrastructures. This requires using continuous panel data. Few papers have studied mode choice with continuous panel data but mainly focused on the panel correlation. In this work we use a six-week travel diary survey to study the intrinsic variability in the individual preferences for mode choices, the effect of long period plans and habitual behaviour in the daily mode choices. Mixed logit models are estimated that account for the above effects as well as for systematic and random heterogeneity over individual preferences and responses. We also account for correlation over several time periods. Our results suggest that individual tastes for time and cost are fairly stable but there is a significant systematic and random heterogeneity around these mean values and in the preferences for the different alternatives. We found that there is a strong inertia effect in mode choice that increases with (or is reinforced by) the number of time the same tour is repeated. The sequence of mode choice made is influenced by the duration of the activity and the weekly structure of the activities     

Identifying variations and co-variations in discrete choice models

This study introduces an extended version of a standard multilevel cross-classified logit model which takes co-variations into account, i.e., variations jointly caused by two or more unobserved factors. Whilst focusing on mode choice behavior, this study deals with four different types of variation: spatial variations, inter-individual variations, intra-individual variations and co-variations between inter-individual and spatial variations. Such co-variations represent individual-specific spatial effects, reflecting different responses to the same space among individuals, which may for example be due to differences in their spatial perceptions. In our empirical analysis, we use data from Mobidrive (a continuous six-week travel survey) to clarify the existence of co-variation effects by comparing two models with and without co-variation terms. The results of this analysis indicate that co-variations certainly exist, especially for utility differences in bicycle and public transport use in comparison with car use. We then sequentially introduce four further sets of explanatory variables, examine the sources of behavioral variations and determine what types of influential factors are dominant in mode choice behavior.     

Random covariance heterogeneity in discrete choice models

In this paper, we extend the standard discrete choice modelling framework by allowing for random variations in the substitution patterns between alternatives across respondents, leading to increased model flexibility. The paper shows how such a Mixed Covariance model can be specified either with purely random variation or with a mixture of random and deterministic variation. Additionally, the model can be based on an underlying GEV or ECL structure. Finally, the model can be specified as a continuous mixture or as a discrete mixture. An application on Stated Preference data for the choice of departure time and travel mode shows that important gains in model performance can be obtained by allowing for random covariance heterogeneity. Furthermore, the approach leads to significant differences in the implied willingness to pay measures, and the substitution patterns between alternatives.     

Values,attitudes and travel behavior: a hierarchical latent variable mixed logit model of travel mode choice

Values lie at the heart of an individual’s belief system, serving as prototypes from which attitudes and behaviors are subsequently manufactured. Attitudes and behaviors may evolve over time, but values represent a set of more enduring beliefs. This study examines the influence of values on travel mode choice behavior. It is argued that personal values influence individual attitudes towards different alternative attributes, which in turn impact modal choices. Using data from a sample of 519 German commuters drawn from a consumer panel, the study estimates an integrated choice and latent variable model of travel mode choice that allows for hierarchical relationships between the latent variables and flexible substitution patterns across the modal alternatives. Results from the empirical application support the value-attitude-behavior hierarchical model of cognition, and provide insights to planners and policy-makers on how better to sell public transit as a means of travel.     

The valuation of commuter travel time savings for car drivers: evaluating alternative model specifications

The empirical valuation of travel time savings is a derivative of the ratio of parameter estimates in a discrete choice model. The most common formulation (multinomial logit) imposes strong restrictions on the profile of the unobserved influences on choice as represented by the random component of a preference function. As we progress our ability to relax these restrictions we open up opportunities to benchmark the values derived from simple (albeit relatively restrictive) models. In this paper we contrast the values of travel time savings derived from multinomial logit and alternative specifications of mixed (or random parameter) logit models. The empirical setting is urban car commuting in six locations in New Zealand. The evidence suggests that less restrictive choice model specifications tend to produce higher estimates of values of time savings compared to the multinomial logit model; however the degree of under-estimation of multinomial logit remains quite variable, depending on the context.     

Analysis of long-distance vacation travel demand in the United States: a multiple discrete–continuous choice framework

This study analyzes the annual vacation destination choices and related time allocation patterns of American households. More specifically, an annual vacation destination choice and time allocation model is formulated to simultaneously predict the different vacation destinations that a household visits in a year, and the time (no. of days) it allocates to each of the visited destinations. The model takes the form of a multiple discrete–continuous extreme value (MDCEV) structure. Further, a variant of the MDCEV model is proposed to reduce the prediction of unrealistically small amounts of vacation time allocation to the chosen destinations. To do so, the continuously non-linear utility functional form in the MDCEV framework is replaced with a combination of a linear and non-linear form. The empirical analysis was performed using the 1995 American Travel Survey data, with the United States divided into 210 alternative destinations. The model estimation results provide several insights into the determinants of households’ vacation destination choice and time allocation patterns. Results suggest that travel times and travel costs to the destinations, and lodging costs, leisure activity opportunities (measured by employment in the leisure industry), length of coastline, and weather conditions at the destinations influence households’ destination choices for vacations. The annual vacation destination choice model developed in this study can be incorporated into a larger national travel modeling framework for predicting the national-level, origin–destination flows for vacation travel.     

Making use of respondent reported processing information to understand attribute importance: a latent variable scaling approach

In recent years we have seen an explosion of research seeking to understand the role that rules and heuristics might play in improving the predictive capability of discrete choice models, as well as delivering willingness to pay estimates for specific attributes that may (and often do) differ significantly from estimates based on a model specification that assumes all attributes are relevant. This paper adds to that literature in one important way—it explicitly recognises the endogeneity issues raised by typical attribute non-attendance treatments and conditions attribute parameters on underlying unobserved attribute importance ratings. We develop a hybrid model system involving attribute processing and outcome choice models in which latent variables are introduced as explanatory variables in both parts of the model, explaining the answers to attribute processing questions and explaining heterogeneity in marginal sensitivities in the choice model. The resulting empirical model explains how lower latent attribute importance leads to a higher probability of indicating that an attribute was ignored or that it was ranked as less important, as well as increasing the probability of a reduced value for the associated marginal utility coefficient in the choice model. The model does so by treating the answers to information processing questions as dependent rather than explanatory variables, hence avoiding potential risk of endogeneity bias and measurement error.     

An empirical investigation into the time-use and activity patterns of dual-earner couples with and without young children

This paper examines the time-use patterns of adults in dual-earner households with and without children as a function of several individual and household socio-demographics and employment characteristics. A disaggregate activity purpose classification including both in-home and out-of-home activity pursuits is used because of the travel demand relevance of out-of-home pursuits, as well as to examine both mobility-related and general time-use related social exclusion and time poverty issues. The study uses the Nested Multiple Discrete Continuous Extreme Value (MDCNEV) model, which recognizes that time-decisions entail the choice of participating in one or more activity purposes along with the amount of time to invest in each chosen activity purpose, and allows generic correlation structures to account for common unobserved factors that might impact the choice of multiple alternatives. The 2010 American Time Use Survey (ATUS) data is used for the empirical analysis. A major finding of the study is that the presence of a child in dual-earner households not only leads to a reduction in in-home non-work activity participation (excluding child care activities) but also a substantially larger decrease in out-of-home non-work activity participation (excluding child care and shopping activities), suggesting a higher level of mobility-related social exclusion relative to overall time-use social exclusion. To summarize, the results in the paper underscore the importance of considering household structure in activity-based travel demand models, as well as re-designing work policies in the United States to facilitate a reduction in work-family conflict in dual-earner families.     

Household travel surveys: Where are we going?

In this paper, we commence by reviewing the recent history of household travel surveys. We note some of the problems that contemporary surveys are encountering throughout the world. We also review the data demands of current and emerging travel demand models, concluding that there are many new demands being placed on data, both in terms of the extent of the data required and the accuracy and completeness of the data. Noting that the standard method for conducting most household travel surveys is, and has been for some years, a diary, we briefly explore the evolution of the diary survey from the late 1970s to the present. In the next section of the paper, we explore a number of facets of potential future data collection. We include in this the use of GPS devices to measure travel, the potential of panel designs and some of the alternatives within panel designs, the development of continuous household travel surveys, especially in Australia, and the emerging capabilities in data fusion. Using some of these emerging methods for data collection and data simulation, we then propose a new paradigm for data collection that places the emphasis on a paid, national panel that is designed as a rotating, split panel, with the cross-sectional component conducted as a continuing survey. The basis of the panel data collection is proposed as GPS with demographic data, and the continuing national sample would also use GPS at its core. The potential to add in such specialised surveys as stated choice and process surveys is also noted as an advantage of the panel approach. We also explore briefly the notion that a special access panel or panels could be included as part of the design.     

A random utility maximization (RUM) based dynamic activity scheduling model: Application in weekend activity scheduling

The paper presents a modeling framework for dynamic activity scheduling. The modeling framework considers random utility maximization (RUM) assumption for its components in order to capture the joint activity type, location and continuous time expenditure choice tradeoffs over the course of the day. The dynamics of activity scheduling process are modeled by considering the history of activity participation as well as changes in time budget availability over the day. For empirical application, the model is estimated for weekend activity scheduling using a dataset (CHASE) collected in Toronto in 2002–2003. The data set classifies activities into nine general categories. For the empirical model of a 24-h weekend activity scheduling, only activity type and time expenditure choices are considered. The estimated empirical model captures many behavioral details and gives a high degree of fit to the observed weekend scheduling patterns. Some examples of such behavioral details are the effects of time of the day on activity type choice for scheduling and on the corresponding time expenditure; the effects of travel time requirements on activity type choice for scheduling and on the corresponding time expenditure, etc. Among many other findings, the empirical model reveals that on the weekend the utility of scheduling Recreational activities for later in the day and over a longer duration of time is high. It also reveals that on the weekend, Social activity scheduling is not affected by travel time requirements, but longer travel time requirements typically lead to longer-duration social activities.     

Modelling commuting mode choice with explicit consideration of carpool in the choice set formation

This article investigates the carpool mode choice option in the context of overall commuting mode choice preferences. The article uses a hybrid discrete choice modelling technique to jointly model the consideration of carpooling in the choice set formation as well as commuting mode choice together with the response bias corrections through the accommodation of measurement equations. A cross-nested error structure for the econometric formulation is used to capture correlations among various commuting modes and carpool consideration in the choice set. Empirical models are estimated using a data set collected through a week-long commuter survey in Edmonton, Alberta. The empirical model reveals many behavioural details of commuting mode choice and carpooling. Interestingly, it reveals that interactions between various Travel Demand Management (TDM) tools with the carpooling option can be different at different level of decision making (choice set formation level and final choice making level).     

Modeling the choice continuum: an integrated model of residential location,auto ownership,bicycle ownership,and commute tour mode choice decisions

The integrated modeling of land use and transportation choices involves analyzing a continuum of choices that characterize people’s lifestyles across temporal scales. This includes long-term choices such as residential and work location choices that affect land-use, medium-term choices such as vehicle ownership, and short-term choices such as travel mode choice that affect travel demand. Prior research in this area has been limited by the complexities associated with the development of integrated model systems that combine the long-, medium- and short-term choices into a unified analytical framework. This paper presents an integrated simultaneous multi-dimensional choice model of residential location, auto ownership, bicycle ownership, and commute tour mode choices using a mixed multidimensional choice modeling methodology. Model estimation results using the San Francisco Bay Area highlight a series of interdependencies among the multi-dimensional choice processes. The interdependencies include: (1) self-selection effects due to observed and unobserved factors, where households locate based on lifestyle and mobility preferences, (2) endogeneity effects, where any one choice dimension is not exogenous to another, but is endogenous to the system as a whole, (3) correlated error structures, where common unobserved factors significantly and simultaneously impact multiple choice dimensions, and (4) unobserved heterogeneity, where decision-makers show significant variation in sensitivity to explanatory variables due to unobserved factors. From a policy standpoint, to be able to forecast the “true” causal influence of activity-travel environment changes on residential location, auto/bicycle ownership, and commute mode choices, it is necessary to capture the above-identified interdependencies by jointly modeling the multiple choice dimensions in an integrated framework.     

A joint model for vehicle type and fuel type choice: evidence from a cross-nested logit study

In the face of growing concerns about greenhouse gas emissions, there is increasing interest in forecasting the likely demand for alternative fuel vehicles. This paper presents an analysis carried out on stated preference survey data on California consumer responses to a joint vehicle type choice and fuel type choice experiment. Our study recognises the fact that this choice process potentially involves high correlations that an analyst may not be able to adequately represent in the modelled utility components. We further hypothesise that a cross-nested logit structure can capture more of the correlation patterns than the standard nested logit model structure in such a multi-dimensional choice process. Our empirical analysis and a brief forecasting exercise produce evidence to support these assertions. The implications of these findings extend beyond the context of the demand for alternative fuel vehicles to the analysis of multi-dimensional choice processes in general. Finally, an extension verifies that further gains can be made by using mixed GEV structures, allowing for random heterogeneity in addition to the flexible correlation structures.     

An integrated model for discrete and continuous decisions with application to vehicle ownership,type and usage choices

This paper proposes an integrated econometric framework for discrete and continuous choice dimensions. The model system is applied to the problem of household vehicle ownership, type and usage. A multinomial probit is used to estimate household vehicle ownership, a multinomial logit is used to estimate the vehicle type (class and vintage) choices, and a regression is used to estimate the vehicle usage decisions. Correlation between the discrete (number of vehicles) and the continuous (total annual miles traveled) parts is captured with a full variance–covariance matrix of the unobserved factors. The model system is estimated using Simulated Log-Likelihood methods on data extracted from the 2009 US National Household Travel Survey and a secondary dataset on vehicle characteristics. Model estimates are applied to evaluate changes in vehicle holding and miles driven, in response to the evolution of social societies, living environment and transportation policies.     

Stochastic frontier estimation of budgets for Kuhn–Tucker demand systems: Application to activity time-use analysis

We propose a stochastic frontier approach to estimate budgets for the multiple discrete–continuous extreme value (MDCEV) model. The approach is useful when the underlying time and/or money budgets driving a choice situation are unobserved, but the expenditures on the choice alternatives of interest are observed. Several MDCEV applications hitherto used the observed total expenditure on the choice alternatives as the budget to model expenditure allocation among choice alternatives. This does not allow for increases or decreases in the total expenditure due to changes in choice alternative-specific attributes, but only allows a reallocation of the observed total expenditure among different alternatives. The stochastic frontier approach helps address this issue by invoking the notion that consumers operate under latent budgets that can be conceived (and modeled) as the maximum possible expenditure they are willing to incur. The proposed method is applied to analyze the daily out-of-home activity participation and time-use patterns in a survey sample of non-working adults in Florida. First, a stochastic frontier regression is performed on the observed out-of-home activity time expenditure (OH-ATE) to estimate the unobserved out-of-home activity time frontier (OH-ATF). The estimated frontier is interpreted as a subjective limit or maximum possible time individuals can allocate to out-of-home activities and used as the time budget governing out-of-home time-use choices in an MDCEV model. The efficacy of this approach is compared with other approaches for estimating time budgets for the MDCEV model, including: (a) a log-linear regression on the total observed expenditure for out-of-home activities and (b) arbitrarily assumed, constant time budgets for all individuals in the sample. A comparison of predictive accuracy in time-use patterns suggests that the stochastic frontier and log-linear regression approaches perform better than arbitrary assumptions on time budgets. Between the stochastic frontier and log-linear regression approaches, the former results in slightly better predictions of activity participation rates while the latter results in slightly better predictions of activity durations. A comparison of policy simulations demonstrates that the stochastic frontier approach allows for the total out-of-home activity time expenditure to either expand or shrink due to changes in alternative-specific attributes. The log-linear regression approach allows for changes in total time expenditure due to changes in decision-maker attributes, but not due to changes in alternative-specific attributes.