The boundedly rational user equilibrium : a parametric optimization approach

This study proposes a static traffic assignment model in which travelers are boundedly rational in route choice: users only switch routes when a new path significantly improves travel time. We introduce a bilevel optimization problem which finds the best-performing boundedly rational user equilibrium flow with respect to travel time. We use a parametric optimization approach to study continuity of the feasible set, optimal value function and optimal link flow solution with respect to perturbations in the indifference band. We propose two algorithms that approach the best-performing flow distribution and compare our results with approaches in literature.