Equity in network design and pricing: A discretely-constrained MPEC problem

摘要: This paper presents a novel transport network design approach that incorporates supply- and demand-side factors and emphasises equity as a key objective. The proposed model introduces a planning agency as the dominant player responsible for strategic decision-making to regulate the market and influence the behaviours of other participants. The paper addresses the complex dynamics between the planning agency and other players by formulating and solving a Stackelberg game within a network-constrained transport system. The proposed formulation is a mathematical program with equilibrium constraints (MPEC) which can capture this interaction effectively. The MPEC is reformulated as a mixed-integer linear program (MILP) to solve the model by employing disjunctive constraints. To demonstrate the model's capabilities for policy analysis, we conduct numerical experiments on a toy network in Sydney …