Modeling pedestrian shopping behavior using principles of bounded rationality: model comparison and validation

Models of geographical choice behavior have been dominantly based on rational choice models, which assume that decision makers are utility-maximizers. Rational choice models may be less appropriate as behavioral models when modeling decisions in complex environments in which decision makers may simplify the decision problem using heuristics. Pedestrian behavior in shopping streets is an example. We therefore propose a modeling framework for pedestrian shopping behavior incorporating principles of bounded rationality. We extend three classical heuristic rules (conjunctive, disjunctive and lexicographic rule) by introducing threshold heterogeneity. The proposed models are implemented using data on pedestrian behavior in Wang Fujing Street, the city center of Beijing, China. The models are estimated and compared with multinomial logit models and mixed logit models. Results show that the heuristic models are the best for all the decisions that are modeled. Validation tests are carried out through multi-agent simulation by comparing simulated spatio-temporal agent behavior with the observed pedestrian behavior. The predictions of heuristic models are slightly better than those of the multinomial logit models.