BEFORE/ AFTER FARES STUDY: FINAL REPORT

A before and after study study was undertaken to assess the effects on bus and tram patronage of the fare changes introduced by the South Australian State Transport Authority in August 1981. The study essentially involved collection and analysis of two inter- dependent groups of data on bus and tram patronage: 1) routine ticket sales data (fortnightly statistics) from August 1980 to November 1981, 2) special surveys of ticket usage by bus inspectors and special analysis of bus driver running journals for a "before" period (July 1981) and an "after" period (November 1981). The study analyses estimate a 6 per cent fall in adult ridership as a result of a 23 per cent average fare increase. This implies an arc elasticity of demand with respect to fare of -0.31 for adult travel, ie, a 10 per cent fares increase would result in a 3.1 per cent ridership decrease. This value corresponds very closely with that found in previous studies, both in Adelaide and elsewhere. Owing to the limitations of the data available and the inherent random variability in patronage, there is considerable uncertainty attached to this overall result. The 95 per cent confidence interval for the elasticity (ie, the range within which there is a 95 per cent probability of the true value lying) is estimated as about -0.04 to -0.60. In any assessment of fares elasticities, it is necessary to analyse and allow for underlying trends and random (day- to- day) variations in patronage. Thus this study involved investigation of these factors. A number of issues which should be considered in design of any future study of fares changes are discussed.

  • Corporate Authors:

    Department of Transport, South Australia

    Victoria Square
    Adelaide, South Australia,   Australia 
  • Publication Date: 1982-1

Media Info

  • Features: Figures; References; Tables;
  • Pagination: 64 p.

Subject/Index Terms

Filing Info

  • Accession Number: 00387868
  • Record Type: Publication
  • Source Agency: ARRB
  • Report/Paper Numbers: Monograph
  • Files: ITRD, TRIS, ATRI
  • Created Date: Oct 30 1984 12:00AM