Template-Type: ReDIF-Paper 1.0
Series: Tinbergen Institute Discussion Papers
Creation-Date: 2023-03-06
Number: 23-010/VIII
Author-Name: Stuart Donovan
Author-Workplace-Name: Vrije Universiteit Amsterdam
Author-Name: Thomas de Graaff
Author-Workplace-Name: Vrije Universiteit Amsterdam
Author-Name: Henri L.F. de Groot
Author-Workplace-Name: Vrije Universiteit Amsterdam
Title: An inexact science: Accounting for
measurement error and downward bias in
mode and location choice models
Abstract: Using commuting data for Brisbane, Australia, we find that accounting for measurement error in travel times causes the magnitude of parameters in mode and location
choice models to increase approximately three-fold and 30–40%, respectively. Errors
appear to be somewhat systematic, with travel times being underestimated for short
journeys and vice versa for long journeys—especially by public transport. We find
similar results when we use alternative transport cost measures and independent
commuting data from London. Our findings are likely to have important implications
for transport and land use policy as well as the many types of economic models in
which travel times—and transport costs, more generally—occupy a central role.
Classification-JEL: C13, R14, R41
Keywords: mode choice, location choice, travel times, measurement error, Australia
File-URL: https://papers.tinbergen.nl/23011.pdf
File-Format: application/pdf
File-Size: 7.781.434 bytes
Handle: RePEc:tin:wpaper:20230011