Longer-term changes in mode choice decisions in Chennai: A comparison between cross-sectional and dynamic models

The rapid and continuing changes in travel and mobility needs in India over the last decade necessitates the development and use of dynamic models for travel demand forecasting rather than cross-sectional models. In this context, this paper investigates mode choice dynamics among workers in Chennai city, India over a period of five years (1999-2004). Dynamics in mode choice is captured at four levels: exogenous variable change, state-dependence, changes in users' sensitivity to attributes, and unobserved error terms. The results show that the dynamic models provide a substantial improvement (of over 500 log-likelihood points and ρ2 increases from 44% to 68%) over the cross-sectional model. The performance was compared using two illustrative policy scenarios with important methodological and practical implications. The results indicate that cross-sectional models tend to provide inflated estimates of potential improvement measures. Improving the Level of Service (LOS) alone will not produce the anticipated benefits to transit agencies, as it fails to overcome the persistent inertia captured in the state-dependence factors. The results and models have important applications in the context of growing motorization and congestion management in developing countries. © Springer Science+Business Media, LLC 2007.