Optimal Model for Passenger Transport Pricing under the Condition of Market Competition

In this article, the stochastic user equilibrium models are proposed for assignment problem in the inter-city passenger transport network based on discrete choice theory, in which the different transport prices are regarded as perturbation parameters. Furthermore, a tri-level programming is presented in order to seek the optimal passenger transport price while keeping in mind that the benefits of passengers and transport departments are both considered under the condition of market competition between different transport modes. A heuristic algorithm for the tri-level programming problem is also proposed.