FARE SYSTEM OF PUBLIC TRANSPORTATION SYSTEM AND IT'S EFFICIENCY AND FAIRNESS

Abstract

A model that simultaneously determines the generalized payment by OD and the public transportation network to maximize the total social surplus was applied to a public transportation system in a suburban metropolitan area, and the impact on efficiency and equity of applying fare systems that comply with distance-based fare system and uniform fare system were analyzed. In terms of efficiency, it was found that the total social surplus was almost the same regardless of the fare system applied, except in cases where the fare level was too low to maintain an appropriate network. On the other hand, from the viewpoint of fairness, compliance with the existing fare system may increase the difference in consumer surplus by residential area. In particular, the distance-based fare system tends to undermine the fairness, and a uniform fare system is preferable.