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Fare Planning for Public Transport

Please always quote using this URN: urn:nbn:de:0297-zib-8541
  • In this paper we introduce the fare planning problem for public transport which consists in designing a system of fares maximizing revenue. We propose a new simple general model for this problem. It i s based on a demand function and constraints for the different fares. The constraints define the structure of the fare system, e.g., distance dependent fares or zone fares. We discuss a simple example with a quadratic demand function and distance dependent fares. Then we introduce a more realistic discrete choice model in which passengers choose between different alternatives depending on the numb er of trips per month. We demonstrate the examples by computational experiments.

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Author:Ralf BorndörferORCiD, Marika Neumann, Marc PfetschORCiD
Document Type:ZIB-Report
Tag:demand function; discrete choice model; fare planning
MSC-Classification:90-XX OPERATIONS RESEARCH, MATHEMATICAL PROGRAMMING / 90Bxx Operations research and management science / 90B20 Traffic problems
91-XX GAME THEORY, ECONOMICS, SOCIAL AND BEHAVIORAL SCIENCES / 91Bxx Mathematical economics (For econometrics, see 62P20) / 91B74 Models of real-world systems
Date of first Publication:2005/03/23
Series (Serial Number):ZIB-Report (05-20)
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