Critique of a Public Transit Policy Model
An economic model created for a city council predicted that lowering bus fares by 25% would lead to a 15% increase in public transit ridership and a significant reduction in traffic congestion, assuming all other factors remained constant. Six months after the fare reduction was implemented, transit ridership had only increased by 3%, and traffic congestion was slightly worse. Analyze this outcome. Identify and explain at least two plausible real-world factors that were held constant in the model but could have changed in reality, leading to the discrepancy between the prediction and the actual result.
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Introduction to Microeconomics Course
The Economy 2.0 Microeconomics @ CORE Econ
Ch.3 Doing the best you can: Scarcity, wellbeing, and working hours - The Economy 2.0 Microeconomics @ CORE Econ
Analysis in Bloom's Taxonomy
Cognitive Psychology
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