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| Author: | Jorgensen, F. Preston, J. |
| Title: | The relationship between fare and travel distance |
| Journal: | Journal of Transport Economics and Policy
2007 : SEP, VOL. 41:3, p. 451-468 |
| Index terms: | transport economics models Norway |
| Language: | eng |
| Abstract: | In the paper, a model is developed to explore how a transport operator concerned about both profit and consumer surplus will design a uniform fare scheme and the relationship btw. fare and travel distance within such a scheme. It is also analyzed how travellers' generalized (as: gen-d.) cost are linked to trip length. It is shown that how fare and gen-d. cost relate to trip length is critically dependent on the weight the transport operator puts on profit and the assumptions made about the demand conditions. The results are discussed in the light of Norwegian data for bus and ferry transport. |
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