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An analysis of airport-choice behaviour using the Mixed Multinomial Logit model

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  • Stephane Hess

Abstract

In this paper, we describe part of an ongoing study of airport choice for passengers departing from the San Francisco Bay area. The aim of the present paper is to test for the prevalence of taste heterogeneity across travellers, using the Mixed Multinomial Logit (MMNL) model. Our results indicate the presence of significant levels of heterogeneity in tastes, especially with respect to the sensitivity to access time, characterised by significant (deterministic) variation between groups of travellers (business/leisure, residents/visitors) as well as random variation within groups of travellers. Our analysis reinforces earlier findings showing that business travellers are far less sensitive to fare increases than leisure travellers, and are willing to pay a higher price for decreases in access time (and generally also increases in frequency) than is the case for leisure travellers. Finally, the results show that the random variation between business travellers in terms of sensitivity to access time is more pronounced than that between leisure travellers, as is the case for visitors when compared to residents.

Suggested Citation

  • Stephane Hess, 2004. "An analysis of airport-choice behaviour using the Mixed Multinomial Logit model," ERSA conference papers ersa04p61, European Regional Science Association.
    • Handle: RePEc:wiw:wiwrsa:ersa04p61
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    References listed on IDEAS

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    1. Eric Pels & Peter Nijkamp & Piet Rietveld, 2001. "Airport and Airline Choice in a Multiple Airport Region: An Empirical Analysis for the San Francisco Bay Area," Regional Studies, Taylor & Francis Journals, vol. 35(1), pages 1-9.
    2. Daniel McFadden & Kenneth Train, 2000. "Mixed MNL models for discrete response," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 15(5), pages 447-470.
    3. Train,Kenneth E., 2009. "Discrete Choice Methods with Simulation," Cambridge Books, Cambridge University Press, number 9780521747387, September.
    4. Pels, Eric & Nijkamp, Peter & Rietveld, Piet, 2003. "Access to and competition between airports: a case study for the San Francisco Bay area," Transportation Research Part A: Policy and Practice, Elsevier, vol. 37(1), pages 71-83, January.
    5. Brooke, A.S. & Caves, R.E. & Pitfield, D.E., 1994. "Methodology for predicting European short-haul air transport demand from regional airports," Journal of Air Transport Management, Elsevier, vol. 1(1), pages 37-46.
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