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A new office park is considering to start an express bus service for workers. A survey of office park commuters is conducted and found that mode choice is affected by out-of-pocket costs (OPC) and total travel time (TTT) where the mode utility is expressed by the function Um ao -0.47OPCm - 0.22TTT

A new office park is considering to start an express bus service for workers. A survey of office park commuters is conducted and found that mode choice is affected by out-of-pocket costs (OPC) and total travel time (TTT) where the mode utility is expressed by the function Um ao -0.47OPCm - 0.22TTT

ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Use 2 decimal places in your final 3. A new office park is considering to start an express bus service for workers. A survey of office park commuters is conducted and found that mode choice is affected by out-of-pocket costs (OPC) and total travel time (TTT) where the mode utility is expressed by the function Um ao 0.47OPCm - 0.22TTT Mode Automobile Bus ao 0.73 0 0.75 18 OPC TTT 10.5 --- a. What is the expected percentage of bus riders based on the parameters given? What would the bus mode share be if the bus fare is reduced to zero? b.
Transcribed Image Text:Use 2 decimal places in your final 3. A new office park is considering to start an express bus service for workers. A survey of office park commuters is conducted and found that mode choice is affected by out-of-pocket costs (OPC) and total travel time (TTT) where the mode utility is expressed by the function Um ao 0.47OPCm - 0.22TTT Mode Automobile Bus ao 0.73 0 0.75 18 OPC TTT 10.5 --- a. What is the expected percentage of bus riders based on the parameters given? What would the bus mode share be if the bus fare is reduced to zero? b.
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