Marco Valerio Salucci

Stochastic User Equilibrium and Analysis of Users’ Benefits

When random utility models are used to represent the choice of the route alternatives, the benefits accruing to the users as a consequence of an intervention on the network can be estimated rigorously on the basis of the expectation of the compensating variation. A rigorous disaggregate analysis which considers shares of shifters and non-shifters and attributes benefits to them can be carried out based on transition probabilities and associated conditional expectations of the compensating variation. The chapter extends the results available in the literature on the computation of transition probabilities and conditional welfare measures to cases of imperfect before-after correlation of the random terms and changing choice set. The theoretical results are illustrated with applications to the town bypass case and the Dupuit-Nguyen network.