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Aala Lan

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0% found this document useful (0 votes)
32 views27 pages

Aala Lan

Uploaded by

Genoel Rogales
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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CHAPTER 1

INTRODUCTION

Background of the study

Countries like Philippines, tricycles and motorcycles made the

transportation essential. Increasing the fare of the mentioned transportation will

likely to have an effect towards lives of the residents.

In Most developing Countries, motorcycles are part of the essential made of

transportation. In case of the Philippines, local public transport in the form of

tricycles as well as “Habal-Habal” or “Motorcycle taxi” exists (Marie Danielle J.

Guilleno, Haruo Ishida Dr. 2004).

High transportation costs depend in the reliability and efficiency of the

public transportation system in the barangays. This mean that resident often

have to rely on private transportation such as taxis or private cars which can be

expensive. In addition, the lack of competition in the transportation industry can

lead to higher prices for services. Transportation is the movement of goods and

persons from place to place and the various means by which, such movements is

accomplished. The growth of the ability and the need to transport large quantities

of good as number of people over long distance at high speeds in comfort and

safety has been an index of civilization and in particular of technological progress

(Adam Zeidan 2018).

In another factor that can contribute to high transportation costs is the

distance between barangays and urban centers, many residents in barangays

may need to travel to urban center for work, education or other essential services
and the costs of transportation can be high especially if they have to travel long

distance.

The financial status of residents in a barangay can also play a role in

the impact of high transportation costs. Low income households may struggle to

afford the cost of transportation, and may have to allocate a larger portion of their

income towards transportation expenses, leaving them with less money for other

essential expenses.

The reason why the researchers conducted the study is to know the

impacts of the high price transportation and help the residents to adjust

whenever this certain issue occur.

Overall, the high price transportation and it’s impact on the financial status

of residents in a barangay is a complex issue that requires a multifaceted

approach. This includes improving public transportation options promoting

alternative modes of transportation and implementing policies and programs to

support low income residents.

OStatement of the Problem

This study aims to explain the factors that affects the financial status of

the residents towards transportation fair

The Following are the specific Question the researcher will answer

Questions:

1. Does transportation fare increased in the barangay Lamsugod in terms of;

a. distance;
b. transportation medium;

c. gasoline price?

2. What is the financial status of the residents in barangay Lamsugod in terms of;

a. salary;

b. savings;

c. expenses?

3. What is/are the effect/s of transportation fare towards the financial status of the

residents in barangay Lamsugod?

Scope and Delimitation

High price transportation and the financial status of the residents of

barangay Lamsugod. The researchers conducted this study to know what are the

impact resulted regards to the issue among residents of barangay Lamsugod

Surallah, South Cotabato in the year 2023. Quantitative method is applied in the

study and use survey questionnaire for the data gathering.

Significance of the Study

High price transportation is one of the factors that affects the financial status

of the residents that leads to shortening their allowance and adjustment on their

budget. Rural areas, as reported, uses local transportation to optimize routes and

distance.
This study focuses on the effect of high price transportation to the residents of

barangay Lamsugod Surallah South Cotabato.

The result of this study will be valuable of the following:

To the student, this will provide them information about their rights regarding

to transportation fare.

To the residents, the findings may inform them on the possible effective way

with regards to budgeting their money for their everyday expenses including their

transportation fare.

To the researcher, this study may be use to know what are the reasons why

there is a sudden increase of fare transportation and to comprehend the impact

of it.

To the future researchers, this study may serve as a basis for related

topics. A continuation of this research study is advisable to comply any

incomplete data that may result for insightful solution regarding to increased

transportation fare.
CHAPTER 2

REVIEW OF RELATED LITERATURE

This chapter discusses the related literature, studies and other readings that

support the authenticity and validity of the research.

Related Literature

Transportation Fare

When you say you want to give someone transport fare, you are not

only giving the person money for transportation, but you are also giving him or

her an error. That is a grammatical error called tautology, a concept you should

by now be able to define, based on how regularly we discuss it. It means the

saying of the same thing twice over in different words, generally considered to be

a fault of style, according to Oxford Dictionary. This is the problem with ‘transport

fare’. People readily demand or give TF. They also indicate such in budgets, just

as they use the acronym in other financial transactions. This means they are also

indirectly using the expression ‘transport fare’ even if in a coded way, since TF

means Transport Fare. So, TF too is tautological. ‘Fare’ means ‘the money you

pay for a journey in a vehicle such as a bus or train’. Put differently, it means

money you pay for transportation. As a result, it does not require the support of

‘transport’. Or do you pay accommodation fare or entertainment fare? So, when

referring to the amount you pay to the taxi guy, just call it ‘fare’ and move on

(Akeem Lasisi, 2022).


Transit costs are paid from passenger fares and, in most developed

countries, public subsidies. The most common way to collect passenger fares is

by cash payment on the vehicle (for bus and light rail systems without closed

stations) or upon entry to the station (for systems requiring entry through closed

stations). Normally, the driver collects fares, although some intensively used bus

and light rail systems carry conductors on the vehicles to collect fares and make

change. Because making change slows the boarding process, most American

systems require prepaid tokens or exact fares. It is more common in European

cities to use an honour fare system, in which the passenger purchases a ticket

before entering the vehicle, cancels that ticket using an on-board machine, and

presents the ticket to fare inspectors on request (Joseph L. Schofer, 2023).

The Land Transportation Franchising and Regulatory Board approved

Friday a battery of fare increases in jeepneys, buses, taxis, and Transport

Network Vehicle Services following petitions by transport groups after the agency

“recognized the need for a fare increase following the continuing rise of oil prices”

(Franco Luna, 2022).

The right, exercisable against one or more Train Operators, subject to

any applicable rights or restrictions and the payment of the relevant price, to

make one or more journeys on the network or to carry on such a journey an item

of luggage or an animal (where this right does not arise under the relevant

conditions of carriage except on the payment of a fee) and, where applicable, to

obtain goods or services from a person; and (b) for the purposes only of

Schedules (Mike Whelan, 2023).


Most shippers closely monitor the safety of their physical supply chain.

That same care should also be applied to a shipper’s financial supply chain.

Recent high-profile litigation should highlight the need to carefully consider a

freight payment provider’s financial stability, its risk of defaulting, the visibility it

offers into its payment process and the degree of control it exerts over funds.

Ultimately, the only institution that can guarantee funds will be delivered exactly

when promised, to whom promised (Cheryl Garcia, 2013).

Distance

Linehaul costs, costs that are a function of the distance over which a

unit of freight or passenger is carried. Weight is also a cost function when freight

is involved. They include labor and fuel and commonly exclude transshipment

costs. Distance is commonly the most basic condition affecting transport costs.

The more difficult it is to trade space for a cost, the more the friction of distance is

important. It can be expressed in terms of length, time, economic costs, or the

amount of energy used. It varies significantly according to the type of

transportation mode involved and the efficiency of specific transport routes (Dr.

Jean-Paul Rodrigue and Dr. Theo Nottebomm, 2020).

Travel time perception modeling and analysis is required for the

planning, design and evaluation of public transportation systems. Often, changes

in socioeconomic conditions may have an impact to the perception of public

transportation travelers as for their perception of travel time components. Using

stated preference data from Athens, Greece, this paper investigates perceived
travel time characteristics in a post-economic recession era, using logistic and

linear regression models. Two types of models are developed. The first type

attempts to identify parameters that affect traveller preferences towards walking

and waiting for a shorter or longer period. The second type investigates the

contribution of individual in-vehicle and out-of-vehicle travel time (perceived)

components to the total perceived travel time. Results are compared to those

obtained by a recent, pre-recession study undertaken by the Athens Public

Transport Organization. Findings suggest changes in traveler perceptions on the

importance of waiting and walk access/egress time (T. Mathisen, 2016).

Transportation costs may reflect the costs directly involved in shipping

(cost of service) or may be determined by the value of the commodity (value of

service). Yet little attention has been given to the role of service quality and travel

time as determinants of transport costs, due largely to the lack of relevant data

and the difficulty of measurement. Another widely neglected aspect is the

importance of transportation costs for different modes of transport. Within the

European market, this may be particularly important where road and maritime

transport (short sea shipping) compete with each another for some destinations.

In this paper, we aim to fill these research gaps (Anderson and van Wincoop,

2004).

The results show substantial heterogeneity in transport costs and time

across shipping modes. Consistent with an iceberg formulation of transport costs,

distance has a significantly positive effect on freight costs by air transportation.

However, I find the puzzling results that business enterprises are likely to pay
more for short-distance shipments by truck, ship, and railroad transportation. As

a plausible explanation, I discuss aggregation bias arising from freight-specific

premiums for timely, frequent, and small-batch shipments (Kiyuyaso Tanaka,

2010).

Transport has direct implications in the social sphere influencing and

ensuring travel. Travel time is an important element in adopting the holiday

decision in the option for a particular destination, especially in international

tourism. It is mainly by the reason of the improvement of transportation that

tourism has expanded (Caraiani, 2017).

Transportation Medium

Vehicle capacity can affect the cost of transportation. It determines the

number of pick-up stops to complete a delivery consignment. The increased

number of trips will result in additional fuel as well as labor ccost (ValQ, 2021).

Vehicle operating costs refer to costs that vary with vehicle usage,

including fuel, tires, maintenance, repairs, and mileage-dependent depreciation

costs (Booz Allen & Hamilton, 1999). Projects that alter vehicle miles traveled,

traffic speed and delay, roadway surfaces, or roadway geometry may affect

travelers’ vehicle operating costs, which should be considered in a benefit-cost

analysis. Vehicle ownership costs refers to fixed costs that are not directly

affected by vehicle mileage, including time-dependent depreciation, insurance

and registration fees, financing, and residential parking. Projects that change per

capita vehicle ownership rates, such as significant changes in the quality of


alternative modes and land use accessibility, may affect vehicle ownership costs,

which should be considered in benefit-cost analysis (Todd Litman, 2019).

Each transportation mode has a distinct capacity and operating

conditions, which involve a specific cost structure. While trucking offers flexibility

and accessibility, it comes with a higher cost structure than rail. The same

applies to traveling individually (e.g. by car) compared to traveling collectively

(e.g. by public transit). Wages, fuel, and insurance, which are the main cost

components, vary by type of vehicle (Dr. Jean-Paul Rodrigue, 2023).

Various factors affect the transportation cost and pricing in an

economy. These factors include the packaging of the commodities since they

increase the weight and the value of goods. Secondly is the mode of

transportation as choosing an expensive means will lead to the increased cost of

the goods. Thirdly is the fuel prices since they constantly change in the economy.

An increase in fuel prices will lead to a rise in the final cost of a commodity.

Fourthly, security required while transporting the products will influence the final

cost of the merchandise. For instance, lower security in transportation will

translate to a lower price of the goods (Study.com, 2023).

Depending on the type of consignment, the budget considerations,

and the speed at which the delivery needs to be made, each mode of transport

has its own advantages and disadvantages. Sometimes, depending on the client,

market or geographical demands and requirements, more than one mode of

transport may be needed to deliver the goods to their destination (Navata Road

Transport, 20218).
Gasoline Price

The Philippines is currently seeing high fuel prices, and the public

transportation sector is currently reeling from the effects as drivers are forced to

pay for expensive gas. Although rollbacks could happen in the future, it won’t

change the fact that fuel costs are still high worldwide. From regular commuters

to international freight forwarding companies, many people are heavily affected

by rising fuel costs that effectively increase gas prices, transportation rates, and

shipping costs (Excelsior, 2022).

During the 1990s and the first part of the 21 st century, the high

availability and low cost of transportation services relative to the cost of holding

inventory encouraged organizations to emphasize fast, frequent delivery to

customers through such means as just-in-time delivery. But things have changed

dramatically in the last decade, and companies increasingly are calling such

long-standing strategies into question. The “game changers” are volatile,

escalating oil prices and an imbalance of supply and demand for freight transport

services. These realities have led to high transportation costs—high enough to

cause companies to make transport-driven shifts in their supply chain strategies

(Dawn Russell, John J. Coyle, Kusumal Ruamsook, and Evelyn A. Thomchick,

2014).

When the price of fuel goes up, carriers are required to increase their

prices or take some losses. The rising costs of fuel affect the whole industry in
that if it costs more for the freight carrier to transport goods, the shipper is

charged more to transport those goods to make up for the increased costs. Also,

if the shipper is charged more to transport, the receiver is consequently charged

more to make up for additional costs (Melvil Dewey, 2021).

Users of a specific transportation mode generally respond to higher

prices by limiting or rationalizing (e.g. speed) their usage level. Trips can be

abandoned, postponed, or consolidated (e.g. carpooling, full truckloads).

Transport operators, such as airline companies, respond to such changes by

reducing the frequency of their services. It is a matter of price elasticity where an

Increase of price P will result in a usage level change of Q. This function is rarely

linear. At first, price increases may have limited effects as they are simply

absorbed with the expectation that they are a temporary condition. Once a

specific price threshold is reached, then significant changes will result as

marginal and extraneous usage will be cut until a new equilibrium is reached.

Usage for this mode is said to have reached a paradigm shift. High petroleum

prices are generally related to recessionary periods, so their specific contribution

to transport usage is codependent on the economic climate. Evidence from

automobile use in the United States underlines a negative relationship between

vehicle use and gasoline prices (Dr. Jean-Paul Rodrigue and Dr. Theo

Nottebomm, 2020).

Passenger rail operators must also consider the impact of reduced oil

prices for both short-haul commuter trips and longer-range interstate travel.

Specifically, as oil prices fall, the relative cost of driving falls, which can lead
passengers to shift from public transit private vehicles—a mode of transport that

is typically quicker and more convenient. This would impact the income of

municipal and state authorities, which rely on ticket sales to fund ongoing

operations (Andrew Tipping, Andrew Schmahl, and Fred Duiven, 2015).

Financial Status

Financial health is a term used to describe the state of one's personal

monetary affairs. There are many dimensions to financial health, including the

amount of savings you have, how much you’re putting away for retirement, and

how much of your income you are spending on fixed or non-discretionary

expenses (Julia Kagan, 2022).

The average income of Filipino families from January to June 2021

was estimated at PhP 149.98 thousand. This is higher by 0.2 percent from the

PhP 149.71 thousand in the same period of 2018. The 19 th series of the Family

Income and Expenditure Survey (FIES) this 2021 uses, for the first time, a

technology-enabled platform to have a more efficient data collection system in

line with the Fourth Industrial Revolution’s rapid pace of change (velocity),

scope, and broad impacts. The Computer Aided Personal Interviewing (CAPI)

system replaces the traditional Paper and Pencil Interviewing (PAPI) used in

previous survey rounds of the FIES. In using the CAPI system, there is no need

for manual encoding of data obtained through paper questionnaires; easier

facilitation of data cleaning; and certain consistency checks, skipping patterns,

as well as error detection are already embedded. These features serve as


safeguard to data quality and significantly reduce the survey’s timetable of

operations ( Divina Gracia L. Del Prado, 2015).

The majority identify lack of income as the main reason for running

short of money for basic necessities. Among households earning less than

10,000 Pesos ($217), 62% report lack of income as the reason. Somewhat

surprisingly, 64% among those with income of 50,000 Pesos ($1,086) or more

also say that lack of income is the reason for not having enough money for basic

necessities. However, insufficient income is not the only story. Among other

factors are providing financial help to others, overspending, unexpected

expenditures due to illness or other emergencies, and lack of planning and

budgeting. Among these options, the least likely to be selected is a failure to plan

and budget – identified by 21% (Nataliya Mylenko, 2015).

There are over 5.6 million Filipino families living in poverty as of 2022,

according to findings of the Listahanan 3 survey released by the Department of

Social Welfare and Development (DSWD). This is an increase from 5.2 million

families who were identified as poor during the Listahanan 2 survey, which was

completed in 2015. In this third iteration of the survey, 15,487,655 households

were surveyed by DSWD’s enumerators. The rise in the number of poor families

was mainly due to job losses triggered by the pandemic, DSWD information

technology director Andrew Ambubuyog said (Ryan Macasero 2022).

Among the Filipinos surveyed, 69% said that the pandemic has lasted

longer than expected, with 40% thinking that it will last another year, and 9%

saying it will never end. Nearly two-thirds (64%) also show a readiness to live
with COVID-19 and get on with life as best they can. This attitude reflects how

the Filipino public has largely accepted and adapted to living with COVID-19, as

they continue to confront Omicron and other variants. “The realities of the past

two years living with the pandemic have given many Filipinos a clearer lens on

the importance of physical, mental and financial well-being. Their attitudes,

behaviors, and priorities have profoundly shifted, while pandemic-linked fears

and concerns continue to impact everyday life,” said Richard Bates, President

and CEO, Manulife Philippines. “At the same time, it’s heartening to see Filipinos

adapting to COVID-19 the best they can, which drives us to continue to work

towards meaningfully meeting the health and protection needs of Filipino families

during these times” (Rahul Hora, 2022).

Savings

The structure of our financial system is constantly being improved to

better accommodate both savings and investors. Savings and the financial

system are intrinsically connected. The financial system provides you with the

bridge you need to be connected to individuals willing to borrow your money and

pay you for having used your money. The household’s savings are channeled to

investors who are in demand of funds to expand their businesses or open a new

startup through the financial system (Carin Neumeier, 2022).

Saving is one of the most basic (and most repeated) bits of financial

advice out there. Despite the importance of saving money, many of us aren’t

following through on that tip. When it comes to doing the right thing financially,
just knowing you should save isn’t enough. And that makes sense. It’s tough to

do something consistently without understanding why you should save money

and put in all that effort in the first place. After all, saving money takes discipline

and a certain amount of sacrifice (Eric Roberge, 2023).

One of the best ways to take charge of your finances in today’s

uncertain economy is to accumulate a healthy savings account. Nobody wants to

feel the stress of knowing that they are only a paycheck or two away from

financial disaster because they lack money to fall back on when “stuff happens.”

Specific examples include job loss, disability, a car breakdown, a sick child or

pet, and other types of financial emergencies. Saving provides a financial

“backstop” for life’s uncertainties and increases feelings of security and peace of

mind. Once an adequate emergency fund is established, savings can also

provide the “seed money” for higher-yielding investments such as stocks, bonds,

and mutual funds (Barbara O’Neill, 2009).

Responsible and effective financial management always begins with

having a definite financial goal and following it diligently. Whether your goal is

just having enough resources to fund your dream. Trip abroad or to prepare for

retirement, it always involves either preserving or growing your hard-earned

money. Most people count on just having savings to fulfill their long-term financial

goals thinking that their money is safely-tucked and well-preserved in their

savings account. There’s also the concept of investing your money, but some

people shun the idea because they are afraid of losses due to risks (Rala, 2020).
Simply making money won’t help you build wealth if you end up

spending it all. Moreover, if you don’t have enough money saved up for your

near-term obligations (like bills, rent, or mortgage) or for an emergency, then you

should prioritize saving enough above all else. Many experts recommend having

several months’ (e.g., three to six) worth of income saved up for such situations

(Adam Hayes, 2023).

Salary

With a high paid job the money flow in the economy increases in a

variety of ways. Firstly the company hiring a person on a high pay will always try

to utilize the intellect in a possible way. One who is highly qualified can engage

his ideas in getting business and provide service in a wide field and also from

abroad as well. This would lead to a rise in GDP. Gross Domestic production is

the result of the summation of the total production that took place in the economy

(Chitra Reddy, 2016).

It’s normal to ask for higher pay or more benefits before accepting a

job offer. Most professionals agree that you should always negotiate salary when

starting a new job. This is likely the easiest and most crucial time to talk about

money. If you neglect to negotiate at the time of hiring, it could be slightly more

difficult (but possible) to get a raise later (Logan Hailey, 2020).

A high paid job satisfies one’s basic needs and at the same time

provides the key to spend the surplus in fulfilling one’s dreams like buying

homes, cars and another luxury lifestyle. It’s true that money counts, but while
choosing a career one should be very cautious in deciding the salary advantages

and disadvantages of high paying jobs in the long run (Chitra Reddy, 2016).

Expenses

Cash flow statements describe changes in the amount of cash and cash

equivalents a business has on hand. This is not the same as profit or loss, which

is detailed on a company’s income statement. The bottom line of the cash flow

statement is simply the net change in the money available to pay the firm’s bills.

Items on the cash flow statement fall into three general areas: operating

activities, investment activities and financial activities. Expenses on a cash flow

statement are items that decrease the amount of cash available (William Adkins,

2023).

Making deliberate choices and decisions is the difference between

having dreams and having goals. Saving money is an active choice; you won’t

end up with the same results if you make saving a passive after-thought in your

budget. The next time you think about your bills, expenses and obligations, factor

savings into your budget as an expense category and pay yourself first.

Regardless of how you save or what kind of account you put your saved money

into, make the choice to give yourself money to spend later. It’s a habit you won’t

be sorry you started (Julie Jaggernath, 2023).

When an expense is recorded, it most obviously appears within a line

item in the income statement. The income statement shows the financial results
of a business for a designated period of time. An expense appears more

indirectly in the balance sheet, where the retained earnings line item within the

equity section of the balance sheet will always decline by the same amount as

the expense (Steven Bragg, 2023).

Related Studies

Foreign Studies

According to Paulley, N., Balcombe, R., Mackett, R. et al. (5 more

authors) (2006) The demand for public transport: The effects of fares, quality of

service, income and car ownership. Transport Policy, fares are fundamental to

the operation of public transport since they form a major source of income to

operators. In general, if fares are increased, patronage will decrease. Whether

revenue increases or decreases as a result of a fare increase depends on the

functional relationship between fares and patronage as represented by the

demand curve. Usually this is expressed through the concept of ‘elasticity’. In its

simplest form the value of the fares elasticity is the ratio of the proportional

change in patronage to the proportional change in fares. It has a negative value

when, as is usually the case, fares and patronage are inversely related: an

increase in fares leads to a decrease in patronage and vice versa. If the value of

the elasticity is in the range zero to -1, then a fares increase will lead to

increased revenue. If the value exceeds -1, then a fare increase will lead to a

decrease in revenue1. Fare elasticities are dynamic, varying over time for a
considerable period following fare changes. Therefore it is increasingly common

for analysts to distinguish between short-run, long-run and sometimes medium-

run elasticity values. There are various definitions of short-, medium- and long-

run, but most authors take short-run to be 1 or 2 years, and long-run to be

around 12 to 15 (although sometimes as many as 20) years, while medium run

is usually around 5 to 7 years. As well as considering the direct effects of a

change in fares, it is often important to consider the effects of fare changes on

other modes. The usual method to take into account the effect that other modes

have on the demand for a particular mode of public transport is to use cross-

elasticities, estimating the demand elasticity for a competing mode with respect

to the change in the given mode. Fare elasticity varies significantly depending not

only on the mode, and the time period over which it is being examined, but also

on the specific circumstances in which a mode is operating. In the study,

elasticity values from many sources were examined to provide an up-to-date

overview of fares elasticities and the effects of various factors on the values. The

principal results of this analysis are shown in Table 1 and Figure 1. It can be

seen that, broadly speaking, bus fare elasticity averages around -0.4 in the short

run, -0.56 in the medium run and -1.0 in the long run; metro fare elasticities

average around -0.3 in the short run and -0.6 in the long run, and local suburban

rail around -0.6 in the short run. There is evidence for this in Dargay and Hanly

(1999) and Gilbert and Jalilian (1991).

Fare elasticities are dynamic, varying over time for a considerable

period following fare changes. Therefore it is increasingly common for analysts to


distinguish between short-run, long-run and sometimes medium-run elasticity

values. There are various definitions of short-, medium- and long-run, but most

authors take short-run to be 1 or 2 years, and long-run to be around 12 to 15

(although sometimes as many as 20) years, while medium run is usually around

5 to 7 years.

This analysis proposed by; Francis Wambalaba, PhD, AICP Principal

Investigator, Sisinnio Concas Co-Principal Investigator, Marlo Chavarria

Graduate Research Assistant considered the use of logistic regression modeling

techniques to investigate the choice of vanpool services and the effects of fare

changes and subsidy programs on vanpool demand. Using employer and

employee data from the 1997 and 1999 Commute Trip Reduction (CTR) program

surveys from the state of Washington, a conditional discrete choice model was

built to analyze the choice of vanpool services with respect to competing means

of transportation as a function of various socio-economic characteristics.

The major findings were: 1. Vanpool subsidies: Employer subsidies to

vanpool users influence the choice of this mode of transportation with respect to

using auto as a means of transportation. Therefore, holding everything else

constant, the presence of vanpool subsidy increases the odds of choosing the

vanpool over the automobile. This result provides sufficient evidence of the

positive impact of vanpool subsidies program. 2. Vanpool Price Elasticity: A

weighted average vanpool price elasticity value was estimated. The calculated

values indicated that vanpool demand is relatively elastic; especially when using

a nested logit model, with car and carpool under a single nest.
Local Studies

Results of the analysis done by Revka E. Perez, Anne Clarice L. Ng &

Noriel Christopher C. Tiglao were summarized into tables showing the different

aspects and opportunities to enhance policy capacities and the corresponding

codes in which these were manifested in the Pasig Design Thinking Workshop.

First on analytical policy capacity, outputs by the participants across the different

stages of the workshop showed the analytical functions and processes they

undertake considering their different role sand interests in public transport. For

commuters, this includes identifying available transport options, distance to

stops, bus schedule, cost, occupancy, and safety; for drivers, conductresses, and

dispatcher – knowing bus assignments, schedules, and intervals; for the CTDMO

operations and planning officers – determining connected and appropriate stops,

origin and destination of commuters, walkability of stops and roads, travel time,

and passenger feedback. These can be later used to design an information

exchange platform to collect, store, analyze, and retrieve the data needed by

each stakeholder to support their analytical activities, especially that of the

CTDMO in making evidence-based decision making. The mapping activities

further enabled the surfacing of several transport issues both in the PBS and the
broader public transport system. Comparing the PBS to other public transport

modes, the participants were particularly concerned with safety, timeliness, and

affordability, expressing issues on the latter such as long queues, multiple

transfers, and drivers improperly loading and unloading, violating pedestrian

lanes, and not driving smoothly. Often raised by the participants is the heavy

traffic in the city which is experienced whether taking the PBS or other public

transport modes. Meanwhile, front liners from the CTDMO (drivers, dispatchers,

conductresses) alsoaired concerns on violating passengers, in particular, those

persistent at loading and unloading in improper stops, rude, littering, and not

being able to arrive at the scheduled time at the stops, hence being left by the

PBS. The raising of these concerns also reveals the priority factors and

indicators that should be considered by the CTDMO in assessing and ensuring

the quality of public transportation in the city.

According to Chelcie NARBONETA a, Kardi TEKNOMO , 37% of the

respondents said that they made use of 3 transportation modes, 25% used 2

modes, 19% used 4 modes, 11% used 1 mode, 6% used 5 modes, and 3% used

more than 5 transportation modes. Average number of modes used therefore

becomes 3. During the first parts of the journeys, the mostly used transportation

modes were the Jeep, Others, Bus, Foot, MRT, in descending order. During the

later parts of the journeys, the mostly used transportation modes became the

Others, Foot, and Jeep.For “Per Trip Basis” meaning the whole journey of the

commuter from origin to destination point: minimum travel time was 5 minutes

(travels with only 1 mode used, usually the jeepney or others – trike) and
maximum was 258 minutes (a travel from Paranaque to Katipunan consisting of

7 transportation modes: Foot, “Others,” “Others,” LRT1, LRT2, “Others”).

Average travel time per trip was 73 minutes. In terms of travel cost, the minimum

cost for 1 travel is 0 (pertaining to a travel that only consists of 1 mode of travel:

by foot) and maximum travel cost was Php 222 (a trip consisting of 2 modes:

others and then jeepney). Average travel cost per trip is at Php 40.Aggregating

all the different legs (per transportation mode used) of all journeys, we get 771

legs, which comprises the “Per Mode Basis.” Minimum travel time was 1 minute

(a trip that used “Others” as the transportation mode) and maximum was 150 (a

travel from Dasmarinas Cavite to Ayala Makati using a bus). Average travel time

for all modes was 25 minutes. In terms of travel cost, the minimum was 0 (for

trips that were made by foot) and maximum travel cost was Php 180 (a trip that

used “Others” as the transportation mode). Average travel cost for all modes is at

Php 14.Of the 771 legs, 31% of them were travelled using Jeepney, 21% used

“Others,” 16% walked by foot, 12% journeyed by bus, 10% was by riding the

MRT, 7% by the LRT2 and 3% by the LRT1. Focusing on the “Others” option, it

was found out that 60% of this was comprised of Tricycle journeys, 17% by Vans,

13% by FXs, 4% by Taxis, 4% by Cars, 1% by Pedicabs, another 1% by Trollys,

and the last 1% by the PNR line. Aggregating these two data, we get all of the

transportation modes used by the respondents, also referred to as the “Modal

Split.” The “Modal Split” is as follows: jeepneys still get the top position with 31%,

Foot with 16%, Trike with 12%, Bus with 12%, MRT with 10%, LRT2 with 7%,

Van with 4%, LRT1 and FX with 3% each, Car and Taxi with 1% each, Trolly with
almost 0%.The top transportation modes that took the longest total travel times

were Jeep, Bus, Others; the top transportation modes that took the longest

average travel times were Bus, MRT, LRT1. The transportation modes that

garnered the highest aggregate transportation cost were Others, Bus, Jeep; the

modes that got the highest average transportation costs were Others, Bus, LRT1.

Conceptual Framework

Independent Variable Dependent Variable

Transportation Fare Financial Status

 Distance  Based on salary

 Type of vehicle  Based on savings

 Cost of gasoline  Based on expenses

Figure1

Figure 1 illustrate the conceptual framework of this study. It shows the

variables under transportation Fare and Financial status of the Residents.

On the variable with regards to transportation fare the following are the

considered essences: distance, the type of vehicle and the cost of gasoline.

Financial status conceives the following sub-variables such as: Based on salary

and Based on Savings.


Finally the dependent variable (Financial Status) as mentioned will be based

on the independent variables which is the transportation fare towards residents

Hypothesis

The high price transportation has an effect to the financial status of the

residents in barangay Lamsugod.

Definition of Terms

Distance: Theoretically, it is an extent of area or an advance along a

route measured in a straight line (Merriam-Webster Dictionary). Operationally, it

is one of the factors affecting the transportation fare, the longer it is the higher

the fare.

Transportation Medium: Theoretically, it is an agency by which

something is accomplished, conveyed, or transferred ( Google Dictionary).

Operationally, it something residents use to travel, and the fare depends on what

type of vehicle they use.

Gasoline Price: Theoretically, it covers the cost of acquiring and refining

crude oil as well as distributing and marketing the gasoline, in addition to state and

federal taxes (Google Dictionary). Operationally, it is considered as one of the reasons

why transportation fare increased


Financial Status: Theoretically, it is the condition of business, assets, properties

or operations of the person in question ( Google Dictionary). Operationally, it is one that

can be affected caused by the increased transportation fare.

Salary: Theoretically, it is a fixed regular payment, typically paid on a

monthly or biweekly basis but often expressed as an annual sum, made by an

employer to an employee, especially a professional or white-collar worker

(Oxford Dictionary). Operationally, It is one of the factors considered while

assessing a resident’s status.

Savings: Theoretically, it is an economy of reduction in money, time, or another

resource ( Oxford Dictionary). Operationally, it is one of the things used to determine the

status of the residents.

Expenses: Theoretically, it is the cost required for something; the money spend

for something ( Oxford Dictionary). Operationally, it contributes to the financial status of

the residents.

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