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Fair Ticket Prices in Public Transport

Please always quote using this URN: urn:nbn:de:0297-zib-10999
  • Ticket pricing in public transport usually takes a welfare or mnemonics maximization point of view. These approaches do not consider fairness in the sense that users of a shared infrastructure should pay for the costs that they generate. We propose an ansatz to determine fair ticket prices that combines concepts from cooperative game theory and integer programming. An application to pricing railway tickets for the intercity network of the Netherlands demonstrates that, in this sense, prices that are much fairer than standard ones can be computed in this way.

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Author:Ralf BorndörferORCiD, Nam-Dung Hoang
Document Type:ZIB-Report
Tag:Ticket prices; cost allocation game
MSC-Classification:90-XX OPERATIONS RESEARCH, MATHEMATICAL PROGRAMMING / 90Cxx Mathematical programming [See also 49Mxx, 65Kxx] / 90C10 Integer programming
91-XX GAME THEORY, ECONOMICS, SOCIAL AND BEHAVIORAL SCIENCES / 91Axx Game theory / 91A12 Cooperative games
91-XX GAME THEORY, ECONOMICS, SOCIAL AND BEHAVIORAL SCIENCES / 91Axx Game theory / 91A46 Combinatorial games
91-XX GAME THEORY, ECONOMICS, SOCIAL AND BEHAVIORAL SCIENCES / 91Bxx Mathematical economics (For econometrics, see 62P20) / 91B24 Price theory and market structure
Date of first Publication:2008/12/05
Series (Serial Number):ZIB-Report (08-46)
Published in:A rev. vers. appeared in: H.-G. Bock, X. P. Hoang, R. Rannacher, and J. P. Schlöder (eds.), Modeling, Simulation and Optimization of Complex Processes, Proceedings of the Fourth International Conference on High Performance Scientific Computing, March 2 – 6, 2009, Hanoi, Vietnam, pages 53 – 64. Springer Verlag, 2012.
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