This article investigates people's individual demands for transportation by train during off-peak hours. Firstly, the ticket choice made by passengers is analysed, notably in relation to purchasing the reduction card. Such a card gives people a 40% reduction on standard train ticket prices during off-peak periods. Secondly, the price sensitivity of off-peak passengers is determined. Obviously, since both aspects are closely interlinked, it is best to use a single, structural model. The various data made available for the purposes of this study allows microeconomic model estimations to be made which simultaneously take into account individual train-kilometre demands and ticket type choices. The estimations show that the average price elasticity for train-kilometre demand equals -1.37, while purchasing a reduction card involves a take-up cost that amounts to 35% of the actual monetary cost. This means that, when deciding to purchase a reduction card, the average passenger makes his choice as if this card was 35% more expensive than it really is. The explanations offered for this phenomenon are: lack of information, risk aversion and non-monetary costs such as time and effort. (A)
Samenvatting