Valuing Time With a Joint Mode Choice-Activity Model

Abstract

Joint estimation is called for in the common framework shared by activity and travel models. In literature, attention has only recently been given to this complex problem. Various components of time's subjective value (value of assigning time to travel, resource value, and travel time savings) have been allowed to be disentangled after obtaining travel choice and activity duration explicit equations. The only reported results have been preliminary results assuming independence, although expectation of some interrelation between equations is natural. The authors postulate a general error structure and adapt a discrete/continuous econometric model. The authors obtain more robust models, and significantly different and more credible value of time estimates.