Mass Transit Flashcards
Lesson 6 (15 cards)
Mass transit in developed vs. developing countries
-developed: not popular except in big cities
-developing: very important
Describe the Theory without underpriced car travel
Same origin, destination, fixed capacity of bus, people differ in most desired time of arrival , how often should buses run?
what is the main trade off determining how often buses should run?
more buses reduce waiting time but increase capacity cost, while fewer buses save cost but increase headway (waiting time)
what is the social optimality problem in bus scheduling
it is to minimize the sum of capacity cost and wait time while ensuring buses do not exceed their capacity
how does an increase in passenger density affect bus scheduling
more people -> more buses -> less wait time -> arrivals closer to desired time
How does allowing people to decide whether to take the trip affect bus demand?
if more people find the trip worthwhile (low cost/better service) more people will take the bus, creating a virtuous cycle of increased demand and improved service
how does giving operators control over both the number and capacity of buses affect the system?
greater density -> bigger buses (2/3 rule) + more buses -> lower cost per seat -> lower fares -> more attractive bus service -> more people take buses
why don’t most cities benefit from current mass transit options?
too much heterogeneity in origin, destination, travel time, and NOT ENOUGH DENSITY
What are 2 main transportation policy objectives of theory with underpriced car travel
-the right split between cars and transit
-the right split between motorized travel and not motorized travel
what is the best way to encourage people to switch from car travel to transit?
Properly price car travel so its price equals marginal cost, including externalities (pollution, congestion)
how to measure the price of car driving
price of car driving = marginal cost of car driving
why is car travel underpriced
negative externalities like pollution, accidents, and congestion are not accounted for fully in car travel pricing
what happens to transit pricing if car travel remains underpriced due to political or tech barriers?
optimal price for transit should be set below its MC to encourage mode shift
how to get the right split between cars and transit
P (transit) = marginal cost - |difference between P(car) and MC(car)|
why is there strong case for reducing transit fares below MC?
Because car travel is significantly underpriced, especially in dense areas during congestion
