A binary Logit model is accommodated to imitate modal choice behavior of travelers. The perceived utility of travelers is constructed as a linear function of a set of xplanatory variables. The associated parameters were calibrated with the TSP software package by the questionnaire data collected from either field survey or phone interview. The statistics show that the goodness of fit is fairly well for the model. The output of the model is then extensively analyzed to rationalize traveler's behavior.
The quantitative indices of equivalent variate and consumer's surplus were also computed to measure the economic benefit accrued to the travelers and compared with the corresponding budget. Though cost effective is not justified at this preliminary study, more studies must be carried out before conclusive remarks can be drawn for free bus transportation service. In the end some suggestions for future research are given.