Theoretical Studies On The Value Of Travel Time

ABSTRACT:Value of travel time is a typical transport economic subject. It is not only an important parameter in evaluation of transport item, but also a significant variable in analysis of transport demand. There have been a lot of empirical researches since 1960s abroad. However research at home is less deep and extensive than abroad and there is no consensus. Meanwhile empirical research isn't based on economics theory which is lacked. It is very necessary to discuss the theory of value of travel time systemically and analyze the relationship between it and empirical research.The traditional utility theory seldom involves time. Since 1960s, scholars start to introduce time to the utility theory and develop the research on the theory of time allocation. Travel time is that consumers have to spend. Saving travel time is the most direct method of saving travel resource. The theory of time allocation is systemically analyzed and concluded in this paper. On the basic of this and the fact that travel demand is a kind of derivative demand, the theoretical expression of value of travel time is gained by building model of travel time allocation from the perspective of time allocation of customers. The conclusions involve two aspects:the affect of saving travel time on consumers utility and the affect of increasing total time to consumer utility. However, this leads to marginal value of travel time which is limit. As a result, the analysis of the effect of the change of travel time on consumer utility from the perspective of consumer surplus is contained in this paper. It tries to measure the value of saving a certain travel time. At the same time, the analysis on travel time from the perspective of produce is also contained in this paper. Additionally the disaggregate model which is commonly used in the evaluation of value of travel time is introduced in this paper. The application rationality of the disaggregate model on the evaluation of value of travel time is further analyzed. It points out that the result of method is also a marginal value of travel time. In the end, this paper puts forward that we should estimate the social benefit of saving travel time from the perspective of the change of consumer surplus, and analyze by combing disaggregate model.