Fosgerau, Mogens (2007): Using nonparametrics to specify a model to measure the value of travel time. Published in: Transportation Research Part A , Vol. 41, No. 9 (2008): pp. 842856.

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Abstract
Using a range of nonparametric methods, the paper examines the specification of a model to evaluate the willingnesstopay (WTP) for travel time changes from binomial choice data from a simple timecost trading experiment. The analysis favours a model with random WTP as the only source of randomness over a model with fixed WTP which is linear in time and cost and has an additive random error term. Results further indicate that the distribution of log WTP can be described as a sum of a linear index fixing the location of the log WTP distribution and an independent random variable representing unobserved heterogeneity. This formulation is useful for parametric modelling. The index indicates that the WTP varies systematically with income and other individual characteristics. The WTP varies also with the time difference presented in the experiment which is in contradiction of standard utility theory.
Item Type:  MPRA Paper 

Original Title:  Using nonparametrics to specify a model to measure the value of travel time 
Language:  English 
Keywords:  Willingnesstopay; WTP; value of time; nonparametric; semiparametric; local logit 
Subjects:  C  Mathematical and Quantitative Methods > C2  Single Equation Models ; Single Variables > C25  Discrete Regression and Qualitative Choice Models ; Discrete Regressors ; Proportions ; Probabilities R  Urban, Rural, Regional, Real Estate, and Transportation Economics > R4  Transportation Economics > R41  Transportation: Demand, Supply, and Congestion ; Travel Time ; Safety and Accidents ; Transportation Noise 
Item ID:  12009 
Depositing User:  Mogens Fosgerau 
Date Deposited:  08. Dec 2008 09:30 
Last Modified:  01. May 2015 10:43 
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URI:  http://mpra.ub.unimuenchen.de/id/eprint/12009 