Changes in perceived travel cost and time for the work trip during a period of increasing gasoline costs

This study was designed to examine the relationship between actual and perceived values of cost and time for the work trip and to examine how perceptions have changed over a period of dramatically increased travel costs. Variations in the relationship between perceived and actual values were examined as a function of situational and attitudinal variables. Two telephone surveys were conducted one year apart (Fall 1978 and Fall 1979). On the next working day following a survey, a research assistant recreated the respondent's work trip, recorded time values and used distance measures, car type information and parking costs to compute travel cost. The first survey revealed that most auto users were unable to articulate dollars-and-cents driving costs for the work trip, but auto users in the second survey were able to provide fairly accurate cost estimates. Dramatic changes in fuel prices between surveys is probably the main reason for the change in driving cost awareness. Auto users were also asked to rate relative costs of driving a car compared to using the bus for the work trip. These ratings showed that auto users tended to underestimate driving costs relative to bus costs, but this tendency decreased from the first to the second time period. Commuters in all modal groups at both time periods tended to overestimate travel times. Perception of travel time varied as a function of mode, perceived comfort (for car users), and perceived convenience and number of transfers (for bus users).To whom correspondence should be addressed.     

Measuring tradeoffs in carpool driving arrangement preferences

In each of two experiments evaluations were obtained of alternative carpooling situations varying in driving arrangement, size of carpool, distance traveled, and amount of time to pick up and deliver passengers. College students in Experiment I rated each situation in terms of comfort, economy, convenience and overall desirability. Shared driving emerged as the most desirable driving arrangement, and results suggested that this was due to a tradeoff of the perceived economic advantages of being the driver and the perceived greater comfort and convenience of being a rider. Driving all the time was the least preferred arrangement for females, and riding all the time was the least preferred arrangement for males. Desirability ratings decreased as carpool size increased, and this was interpreted to indicate that perceived economic advantages of large pools were outweighed by large perceived decreases in comfort and convenience. The major results of Experiment I were replicated in Experiment II, using university employees who were either currently in carpools or seeking to find carpools. Results are discussed in terms of the practical implications of the findings concerning driving arrangement and carpool size preferences, and in terms of the usefulness of controlled experimental designs for understanding the processes-underlying ride-sharing attitudes and behavior.     

Direct to your destination: the size,scope and competitive status of express coach carriers in the United States

The advent of express coach bus lines offering guaranteed seating and emphasizing curbside pickup and drop-off is contributing to a revival in intercity bus travel in the United States. Relatively little is known, however, about the scale and geographic scope of these carriers or the competitive landscape in which they operate. To fill this void, this study evaluates the service networks operated by the two largest express coach operators in the country, BoltBus and Megabus, and evaluates a data set of 4775 fares sold on megabus.com. The results show that these carriers cumulatively serve 127 intercity segments and operate about 52.9 million bus miles per year. Together, these carriers have grown to about one third of the size of Amtrak, with Megabus and BoltBus providing 3.3 billion and .69 billion seat miles of service, respectively, compared to Amtrak’s 12.8 billion. With respect to the types of routes it serves and the competition it faces, Megabus has evolved into a carrier quite different than Boltbus; more than one third of Megabus’ bus miles are operated on segments without Amtrak service, while virtually all of BoltBus’ miles face this competition. The analysis of Megabus’ pricing shows that fares rise modestly within 2 weeks of departure, while the per-mile costs are much less ($.08/mile) for 300–399 mile trips than for those 50–99 miles ($.22/mile). Nevertheless, the dispersion of fares tends to fall as the departure date nears, regardless of distance. Together, these prominent bus lines serve 66 of the 100 most heavily traveled U.S. city pairs that have characteristics suitable for intercity bus service—which is more than Amtrak. With further growth on the horizon, planners, federal regulators, and researchers should collaborate on establishing reporting requirements for this expanding sector.

     

Valuing cargo flexibility in oil transportation

The seaborne oil transportation market is served by two main types of vessels—crude oil tankers and product tankers. Product tankers are designed to move refined oil products, yet they can also opportunistically carry ‘dirty’ products such as crude and heavy fuel oil, subject to the cost of tank cleaning when re-entering the clean products trade. We apply an entry-exit real option model with a stochastic freight rate differential to derive optimal triggers for switching between the two cargo types and estimate the value of the switching option. We show that the value of active switching has grown over time, and generally exceeds the additional construction cost of a product tanker. Our findings are important both from a practical point of view and for our understanding of market integration in the tanker freight market. Specifically, shipowners can use our model as a basis for optimizing chartering policy for clean product tankers. We also show that there are periods where the dirty market is persistently stronger, and discuss the possible reasons for such apparent inefficiencies.