Decreasing fare evasion without fines? A microeconomic analysis

Authors

Pablo Guarda
Patricia Galilea
Susan Handy
Juan Carlos Muñoz
Juan de Dios Ortúzar

Document Type

Journal Article

Publication Date

2016

Subject Area

place - south america, place - urban, mode - bus, mode - subway/metro, infrastructure - interchange/transfer, policy - fares, economics - benefits, ridership - behaviour

Keywords

Fare evasion, Count regression models, Transantiago, Cost-benefit analysis

Abstract

Fare evasion is a problem in many public transport systems around the world. Policies to reduce this problem are generally aimed at improving control systems and increasing fines for offenders. In this paper, we attempt to identify the joint impact of different variables explaining fare evasion using an econometric study. The variables found to be statistically significant are the level of inspection, the proximity to a Metro or intermodal station, the bus occupancy level, the period of the day, the geographic location and number of passengers boarding and alighting at each bus stop, among others. We propose a novel approach to perform cost-benefit evaluation in order to help authorities increase the cost-effectiveness of ticket inspection strategies on a given time horizon. We obtain new evidence that indicates that inspection strategies can be cost-effective even when evaders are not given a fine.

Rights

Permission to publish the abstract has been given by Elsevier, copyright remains with them.

Comments

Research in Transportation Economics Home Page:

http://www.sciencedirect.com/science/journal/07398859

Recommended Citation

Guarda, P., Galilea, P., Handy, S., Muñoz, J.C., & de Dios Ortúzar, J. (2016). Decreasing fare evasion without fines? A microeconomic analysis. Research in Transportation Economics, Available online 8 October 2016. In Press, Corrected Proof — Note to users.