An agent-based day-to-day adjustment process for modeling ‘Mobility as a Service’ with a two-sided flexible transport market

Shadi Djavadian, Joseph Y.J. Chow

Research output: Contribution to journalArticle

Abstract

Due to advances in communications technologies and social networks, flexible mobility systems such as taxi, carpool and demand responsive transit have gained interest among practitioners and researchers as a solution to address such problems as the first/last mile problem. While recent research has modeled these systems using agent-based stochastic day-to-day processes, they assume only traveler adjustment under a one-sided market setting. What if such systems are naturally “two-sided markets” like Uber or AirBnB? In this study, we explore flexible transport services in the framework of two-sided markets, and extend an earlier day-to-day adjustment process to include day-to-day adjustment of the service operator(s) as the seller and the built environment as the platform of a two-sided market. We use the Ramsey pricing criterion for social optimum to show that a perfectly matched state from a day-to-day process is equivalent to a social optimum. A case study using real data from Oakville, Ontario, as a first/last mile problem example demonstrates the sensitivity of the day-to-day model to operating policies. Computational experiments confirm the existence of locally stable states. More importantly, the experiments show the existence of thresholds from which network externalities cause two-sided and one-sided market equilibria to diverge.

LanguageEnglish (US)
Pages36-57
Number of pages22
JournalTransportation Research Part B: Methodological
Volume104
DOIs
StatePublished - Oct 1 2017

Fingerprint

market
Experiments
market equilibrium
Communication
experiment
Costs
pricing
communication technology
social network
cause
Agent-based
Adjustment process
Modeling
Two-sided markets
demand
Social optimum
Experiment
Travellers
Communication technologies
Agent-based systems

Keywords

  • Agent-based
  • Day-to-day adjustment
  • Dynamic equilibrium
  • Flexible transport services
  • Last mile problem
  • Public transit

ASJC Scopus subject areas

  • Transportation
  • Management Science and Operations Research

Cite this

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