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Commuting time choice and the value of travel time
Örebro University, Swedish Business School at Örebro University.
2009 (English)Doctoral thesis, comprehensive summary (Other academic)
Abstract [en]

In the modern industrialized society, a long commuting time is becoming more and more common. However, commuting results in a number of different costs, for example, external costs such as congestion and pollution as well as internal costs such as individual time consumption. On the other hand, increased commuting opportunities offer welfare gains, for example via larger local labor markets. The length of the commute that is acceptable to the workers is determined by the workers' preferences and the compensation opportunities in the labor market. In this thesis the value of travel time or commuting time changes, has been empirically analyzed in four self-contained essays.

First, a large set of register data on the Swedish labor market is used to analyze the commuting time changes that follow residential relocations and job relocations. The average commuting time is longer after relocation than before, regardless of the type of relocation. The commuting time change after relocation is found to differ substantially with socio-economic characteristics and these effects also depend on where the distribution of commuting time changes is evaluated.

The same data set is used in the second essay to estimate the value of commuting time (VOCT). Here, VOCT is estimated as the trade-off between wage and commuting time, based on the effects wage and commuting time have on the probability of changing jobs. The estimated VOCT is found to be relatively large, in fact about 1.8 times the net wage rate.

In the third essay, the VOCT is estimated on a different type of data, namely data from a stated preference survey. Spouses of two-earner households are asked to individually make trade-offs between commuting time and wage. The subjects are making choices both with regard to their own commuting time and wage only, as well as when both their own commuting time and wage and their spouse's commuting time and wage are simultaneously changed. The results show relatively high VOCT compared to other studies. Also, there is a tendency for both spouses to value the commuting time of the wife highest.

Finally, the presence of hypothetical bias in a value of time experiment without scheduling constraints is tested. The results show a positive but not significant hypothetical bias. By taking preference certainty into account, positive hypothetical bias is found for the non-certain subjects.

Place, publisher, year, edition, pages
Örebro: Örebro universitet , 2009. , 22 p.
Series
Örebro Studies in Economics, ISSN 1651-8896 ; 18
Keyword [en]
Value of time, Value of travel time, Commuting, Commuting time changes, Value of commuting time, Register data, On-the-job search, Revealed preferences, Stated preferences, Hypothetical bias, Scheduling constraints, Relocations, Certainty calibration, Quantile regression, Mixed logit, Gender differences
National Category
Economics Social Sciences
Research subject
Economics
Identifiers
URN: urn:nbn:se:oru:diva-8524ISBN: 978-91-7668-704-8 (print)OAI: oai:DiVA.org:oru-8524DiVA: diva2:278104
Public defence
2009-12-16, BIO, Forumhuset, Örebro universitet, Örebro, 13:15 (English)
Opponent
Supervisors
Available from: 2009-11-24 Created: 2009-11-12 Last updated: 2011-05-02Bibliographically approved
List of papers
1. Commuting time changes following residential relocations and job relocations
Open this publication in new window or tab >>Commuting time changes following residential relocations and job relocations
(English)Manuscript (preprint) (Other academic)
Abstract [en]

This paper focuses on empirical analysis of commuting time changes for workers who relocate residence, relocate job, or combine both residence and job relocation. A large register data set of individuals on the Swedish labor market, including travel times, is studied. Workers are not necessarily seeking to decrease their commuting time when they relocate job and/or residence. In fact, the average commuting time is longer after a relocation than before, thus suggesting that workers trade between a better job, a better residence and commuting time. The paper also presents results from a set of econometric models suggesting that commuting time changes differ substantially with respect to socio-economic characteristics as well as with respect to the part of the distribution of commuting time change that is analyzed.

National Category
Economics
Research subject
Economics
Identifiers
urn:nbn:se:oru:diva-15433 (URN)
Available from: 2011-05-02 Created: 2011-05-02 Last updated: 2016-11-21Bibliographically approved
2. The value of commuting time in an empirical on-the-job search model: Swedish evidence based on linked employee-establishment data
Open this publication in new window or tab >>The value of commuting time in an empirical on-the-job search model: Swedish evidence based on linked employee-establishment data
(English)Manuscript (preprint) (Other academic)
National Category
Economics
Research subject
Economics
Identifiers
urn:nbn:se:oru:diva-15434 (URN)
Available from: 2011-05-02 Created: 2011-05-02 Last updated: 2016-11-21Bibliographically approved
3. Willingness to accept commuting time for yourself and for your spouse: empirical evidence from Swedish stated preference data
Open this publication in new window or tab >>Willingness to accept commuting time for yourself and for your spouse: empirical evidence from Swedish stated preference data
(English)Manuscript (preprint) (Other academic)
Abstract [en]

In this study, Swedish stated preference data is used to derive estimated values of commuting time (VOCT). Both spouses in two-earner households are individually making trade-offs between commuting time and wage; both with regard to their own commuting time and wage only, as well as when both their own commuting time and wage and their spouse's commuting time and wage are simultaneously changed. Thus, we are able to compare how male spouses and female spouses value each other's commuting time. When only ones own commuting time and wage are attributes, the empirical results show that the estimated VOCT is plausible with a tendency towards high values compared to other studies, and that VOCT does not differ significantly between men and women. When decisions affecting commuting time and wage of both spouses are analyzed, both spouses tend to value the commuting time of the wife highest. For policy implications, this study provides additional support for the practice of valuing commuting time higher than other private travel time. In addition, if VOCT were to be gender specific, the value might be higher for women than for men in two-earner households.

National Category
Economics
Research subject
Economics
Identifiers
urn:nbn:se:oru:diva-15435 (URN)
Available from: 2011-05-02 Created: 2011-05-02 Last updated: 2016-11-21Bibliographically approved
4. Hypothetical bias of value of time choices without scheduling constraints
Open this publication in new window or tab >>Hypothetical bias of value of time choices without scheduling constraints
(English)Manuscript (preprint) (Other academic)
National Category
Economics
Research subject
Economics
Identifiers
urn:nbn:se:oru:diva-15436 (URN)
Available from: 2011-05-02 Created: 2011-05-02 Last updated: 2016-11-21Bibliographically approved

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