Journal
TRANSPORTATION RESEARCH PART B-METHODOLOGICAL
Volume 46, Issue 8, Pages 917-932Publisher
PERGAMON-ELSEVIER SCIENCE LTD
DOI: 10.1016/j.trb.2012.04.001
Keywords
Value of travel time; Stated preference data; Prospect theory; Small time savings
Categories
Funding
- Danish Strategic Research Council
Ask authors/readers for more resources
A common finding in stated preference studies that measure the value of travel time (VTT) is that the measured VTT increases with the size of the time change considered, in conflict with standard neoclassical economic theory. We present a new test of a possible explanation for the phenomenon that builds on the diminishing or constant sensitivity of the value functions in prospect theory. We use stated preference data with trade-offs between travel time and money that provide separate identification of the degrees of diminishing sensitivity for time and money gains and losses. This enables us to test and potentially falsify the prospect theory explanation. We conclude that prospect theory remains a potential explanation of the phenomenon. (c) 2012 Elsevier Ltd. All rights reserved.
Authors
I am an author on this paper
Click your name to claim this paper and add it to your profile.
Reviews
Recommended
No Data Available