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Efficiency and equity of redistribution of toll revenue with user heterogeneity

  • Beihang University

Research output: Chapter in Book/Report/Conference proceedingConference contributionpeer-review

Abstract

With the explicit consideration of user heterogeneity, i.e. each user has a different value of time (VOT), this paper examines system efficiency and social equity of redistribution of toll revenue in a bi-mode transportation service system. Three mode choice equilibrium models are built without road congesting pricing, with road congesting pricing and with the combination of road congesting pricing and transit subsidies, respectively. With mild assumptions, we prove that the number of highway users decreases and the total social cost of service system increases with subsidy share, respectively. Numerical analysis indicates that there exists an optimal subsidy share so as to minimize the social inequity measured by Gini coefficient. Furthermore, with the increase of user heterogeneity, the Gini coefficient is larger and the total travel cost is lower.

Original languageEnglish
Title of host publication11th International Conference on Service Systems and Service Management, ICSSSM 2014 - Proceeding
PublisherIEEE Computer Society
ISBN (Print)9781479931330
DOIs
StatePublished - 2014
Event11th International Conference on Service Systems and Service Management, ICSSSM 2014 - Beijing, China
Duration: 25 Jun 201427 Jun 2014

Publication series

Name11th International Conference on Service Systems and Service Management, ICSSSM 2014 - Proceeding

Conference

Conference11th International Conference on Service Systems and Service Management, ICSSSM 2014
Country/TerritoryChina
CityBeijing
Period25/06/1427/06/14

Keywords

  • efficiency
  • equity
  • mode choice
  • redistribution of toll revenue
  • value of time

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