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The utility of travelling when destinations are heterogeneous. How much better is the next destination as one travels further?

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  • P. Rietveld
  • S. van Woudenberg

Abstract

In many studies travel behaviour (for example, commuting) is analysed on the basis of a utility function with the distance (d) travelled as one of the arguments. An example is U=U(d,Y-cd,T-td) where Y and T denote money and time constraints, and c and t money and time costs per unit distance. This standard approach is not without problems, however, since it ignores the fundamental fact that most transport has a derived character: travelling kilometres is not an activity that gives utility per se, but only because these kilometres bring people to certain places they want to visit. In this paper we develop a method that provides a justification for utility functions such as shown here by showing that these can be made consistent with theories that take into account the derived character of transport. Copyright Springer-Verlag Berlin Heidelberg 2003

Suggested Citation

  • P. Rietveld & S. van Woudenberg, 2003. "The utility of travelling when destinations are heterogeneous. How much better is the next destination as one travels further?," Journal of Geographical Systems, Springer, vol. 5(2), pages 207-222, August.
    • Handle: RePEc:kap:jgeosy:v:5:y:2003:i:2:p:207-222
    DOI: 10.1007/s10109-003-0098-8
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    Cited by:

    1. Fetene, Gebeyehu M. & Hirte, Georg & Kaplan, Sigal & Prato, Carlo G. & Tscharaktschiew, Stefan, 2016. "The economics of workplace charging," Transportation Research Part B: Methodological, Elsevier, vol. 88(C), pages 93-118.
    2. Milakis, Dimitris & Cervero, Robert & van Wee, Bert & Maat, Kees, 2015. "Do people consider an acceptable travel time? Evidence from Berkeley, CA," Journal of Transport Geography, Elsevier, vol. 44(C), pages 76-86.
    3. Kamar Ali & M. Rose Olfert & Mark Partridge, 2011. "Urban Footprints in Rural Canada: Employment Spillovers by City Size," Regional Studies, Taylor & Francis Journals, vol. 45(2), pages 239-260.
    4. Niclas Lavesson, 2017. "When And How Does Commuting To Cities Influence Rural Employment Growth?," Journal of Regional Science, Wiley Blackwell, vol. 57(4), pages 631-654, September.
    5. Piet Rietveld, 2011. "The Economics of Information in Transport," Chapters, in: André de Palma & Robin Lindsey & Emile Quinet & Roger Vickerman (ed.), A Handbook of Transport Economics, chapter 24, Edward Elgar Publishing.
    6. Tscharaktschiew, Stefan, 2016. "The private (unnoticed) welfare cost of highway speeding behavior from time saving misperceptions," Economics of Transportation, Elsevier, vol. 7, pages 24-37.

    More about this item

    Keywords

    rectangular city; commuting; distance distributions; C15; R14; R41;
    All these keywords.

    JEL classification:

    • C15 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Statistical Simulation Methods: General
    • R14 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Land Use Patterns
    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise

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