Differences in probability weighting for individual travelers: a managed lane choice application

Using a 2012 stated preference survey based on a traveler’s most recent actual trip, this study predicts traveler choices between general purpose lanes and managed lanes for a freeway in Houston, Texas. The choice model incorporates probability weighting for risky travel times. The results indicate significant improvement in predicative power over a model that excludes weighting, confirming non-linearity in the probability weighting function. The maximum value of time (VOT) measures calculated in this study are lower than estimated in many previous route choice studies. This highlights the importance of incorporating individual weights for travel risks. Travelers’ underweighting of travel time risks would help explain the lower VOTs found in our study because respondents consider route choice decision-making as a gamble, but assign their own probabilities of occurrence to arriving at their destination on time, late, or early. We find that traveler groups are heterogeneous and the different weights developed for different groups of travelers can be used to better understand their probabilities. Segmentation analysis indicates that Age may serve to proxy the effects of more experience over time, or changing driving abilities, or changes in one’s sense of optimism or pessimism at different ages. Gender and Income also play a role in how the objective probabilities presented to respondents were translated into subjective probabilities.