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Congestion Tolling and Urban Spatial Structure

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Abstract:

According to the standard model of urban traffic congestion and urbanspatial structure, congestion tolling results in a more concentrated city. In recent years, a new model of rush-hour urban auto congestion has been developed that incorporates trip-timing decisions—the bottleneck model. In the simplest bottleneck model optimal congestion tolling without toll-revenue redistribution has no effect on trip price because the efficiency gainsexactly equal the toll revenue collected. Optimal congestion tolling then has no effect on urban spatial structure. This paper formalizes and extends this result.

Document Type: Research Article

DOI: http://dx.doi.org/10.1111/0022-4146.00105

Affiliations: Boston College

Publication date: August 1, 1998

bpl/jors/1998/00000038/00000003/art00007
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