@article{ref1,
title="Risky weighting in discrete choice",
journal="Transportation research part B: methodological",
year="2017",
author="Li, Baibing and Hensher, David A.",
volume="102",
number="",
pages="1-21",
abstract="This paper presents a new approach to discrete choice analysis for risky prospects. Conventional discrete choice analysis focuses on riskless prospects and does not deal with the scenario where the alternatives that the decision-makers choose from are associated with risk. In this paper, we investigate decision-makers' risk perception and choice behaviour in choice experiments when they are facing several risky prospects. We propose a broad class of cumulative risky weighting functions, upon which a unified cumulative risky weighting function is developed. We show that this unified cumulative risky weighting function includes several existing cumulative risky weighting functions as special cases. We then develop a multivariate method for choice analysis with risky prospects to account for decision-makers' individual-specific risk perception and the impact of various factors on the value function respectively. We illustrate the developed method using an empirical study on road tolling in Australia.<p /> <p>Language: en</p>",
language="en",
issn="0191-2615",
doi="10.1016/j.trb.2017.04.014",
url="http://dx.doi.org/10.1016/j.trb.2017.04.014"
}