Fair ticket pricing in public transport as a constrained cost allocation game



Ticket pricing in public transport usually takes a welfare maximization point of view. Such an approach, however, does not consider fairness in the sense that users of a shared infrastructure should pay for the costs that they generate. 



We propose an ansatz to determine fair ticket prices that combines concepts from cooperative game theory and linear and integer programming.
The ticket pricing problem is considered to be a constrained cost allocation game, which is a generalization of cost allocation games that allows to deal with constraints on output prices and on the formation of coalitions. 


An application to pricing railway tickets for the intercity network of the Netherlands is presented. The results demonstrate that the fairness of prices can be improved substantially in this way.
Title: 


Fair ticket pricing in public transport as a constrained cost allocation game
Authors: Borndoerfer, Ralf
Hoang, Nam Dung
Keywords: Constrained cost allocation games
Fair ticket prices
Issue Date: 2015
Publisher: SPRINGER, VAN GODEWIJCKSTRAAT 30, 3311 GZ DORDRECHT, NETHERLANDS
Citation: ISIKNOWLEDGE
Abstract: Ticket pricing in public transport usually takes a welfare maximization point of view. Such an approach, however, does not consider fairness in the sense that users of a shared infrastructure should pay for the costs that they generate. We propose an ansatz to determine fair ticket prices that combines concepts from cooperative game theory and linear and integer programming. The ticket pricing problem is considered to be a constrained cost allocation game, which is a generalization of cost allocation games that allows to deal with constraints on output prices and on the formation of coalitions. An application to pricing railway tickets for the intercity network of the Netherlands is presented. The results demonstrate that the fairness of prices can be improved substantially in this way.
Description: ANNALS OF OPERATIONS RESEARCH Volume: 226 Issue: 1 Pages: 51-68 Published: MAR 2015 ; TNS05752
URI: https://link.springer.com/article/10.1007/s10479-014-1698-z
http://repository.vnu.edu.vn/handle/VNU_123/32372
ISSN: 0254-5330
Appears in Collections:Bài báo của ĐHQGHN trong Web of Science


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