Generalised Cost - Basic Form

Basic Form

In a basic form, the generalised cost (g) is composed of the following:

  • p refers to the monetary (out-of-pocket) costs of the journey.
  • u(w) refers to the non-monetary (time) costs of an uncongested journey. This is a function of w (in the transport economic model, w is a measure of road standard or public transport service level, both of which are related to capacity). When the free-flow journey time is known, u(w) can be calculated as the product of the journey time (t) in uncongested conditions and the opportunity cost of the traveller's time (τ), so that .

Read more about this topic:  Generalised Cost

Famous quotes containing the words basic and/or form:

    “Mental health depends upon the maintenance of a balance within the personality between the basic human urges and egocentric wishes on the one hand and the demands of conscience and society on the other hand.”
    —Selma H. Fraiberg (20th century)

    “I can’t work without a model. I won’t say I turn my back on nature ruthlessly in order to turn a study into a picture, arranging the colors, enlarging and simplifying; but in the matter of form I am too afraid of departing from the possible and the true.”
    —Vincent Van Gogh (1853–1890)