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Transportation planning and the need for travel demand models has been recognized by urban planners and researchers for over a century. Transportation modeling has been used for infrastructure planning and policy analysis for decades. The planning process requires estimates of current use of a surface transportation system, including highway, transit, nonmotorized, and freight modes. Travel forecasting models are used to study proposed investments in the transportation system and determine which of these investments will best serve the public's needs for future travel and economic development. The models are also used to determine air quality impacts of proposed transportation projects, to evaluate the impacts of alternative land use, and to forecast energy consumption.

With passage of the 1990 federal Clean Air Act Amendments (CAAA), the 1991 federal Intermodal Surface Transportation Efficiency Act (ISTEA), and the National Environmental Policy Act (NEPA), a resurgence of interest in improving travel demand model behaviors and forecasting techniques has been evidenced throughout the country. The federal government, state transportation agencies (STAs), and metropolitan planning organizations (MPOs) have historically shared responsibilities for developing transportation models and making urban travel forecasts.

Initially, federal agencies took the lead in developing travel forecasting methods; over time, these responsibilities have shifted to the states, MPOs, and the private sector. The federal government has not become invisible with respect to metropolitan travel forecasting, however. A travel forecasting process with which to estimate travel impacts and facility needs is necessary to meet the requirements of federal laws, such as those mentioned above. In fact, every urban area in the United States with a population of 50,000 or more must undergo a metropolitan transportation planning process as a precondition for federal funding of transportation projects.

Travel Demand Models

A transportation model, also known as a travel demand forecasting model, is a computer-based mathematical model that simulates supply and demand for travel in a given (usually urban) area. Models are used in a sequence of steps to answer a series of questions about future travel patterns. The basic questions asked in each transportation modeling step are as follows:

  • What will our community look like in the future?
    • How many people will there be? (population forecasts)
    • What will they be doing? (economic forecasts)
    • Where will activities take place? (land use)
  • What will be the travel patterns in the future?
    • How many trips will be made? (trip generation)
    • Where will the trips be? (trip distribution)
    • What modes will be used? (mode split)
    • What routes will be used? (traffic assignment)
    • What will be the effects of this travel? (impact analysis)

These models are highly complex and require (as inputs) extensive current information on roadway and transit system characteristics and operations, as well as current and forecast demographic information. Creating and operating the models requires a high degree of technical training and expertise. Once a model is developed that replicates existing travel conditions, future conditions and alternatives can be evaluated in terms of their impact on the transportation system.

The most common paradigm for travel demand models in the United States is known as the “four-step model” (FSM) due to its four main steps: trip generation, trip distribution, mode choice, and trip assignment. This model is known as a trip-based model (TBM). The travel supply is generally represented by a highway network and a transit network. The highway network represents all major roads in the region and the transit network represents all public transportation service in the region, such as bus, rail, and commuter rail.

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