Does a tradable credit scheme with a trading component influence mode choice? Insights from an SP experiment

Abstract

Tradable Credit Schemes (TCSs) have recently emerged to manage demand in saturated transportation systems. Previous studies have investigated the impact of the credit fee on mode choice. However, little is known regarding the impact of the trading component. This study examines how the TCS trading component affects mode choice. The data were gathered from a stated preference experiment that compared mode choices with and without a TCS. A mixed logit model analyzed mode choices between bike-sharing systems (BSS), public transportation (PT), and waiting for off-peak public transport use (W). The results indicate that individuals were significantly more likely to choose BSS and W when the TCS was activated and when their revenue from the credit sale increased. The initial credit allocation did not significantly impact mode choice. The main conclusion is that the trading component should be included when investigating mode choices with TCSs.