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The Microeconomic Analysis of the External Costs of Road Accidents

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  • Peirson, John
  • Skinner, Ian
  • Vickerman, Roger

Abstract

A disaggregated model of the marginal external costs of road accidents imposed by different road users is developed. The model explicitly specifies the adjustment of road users to increases in accident risks imposed by additional road use and is used to estimate the marginal external costs of road accidents. The results, under certain assumptions, are up to 50 percent less than those obtained using the methods of previous studies. However, the adjustment to the increased risks of accidents leads to other costs, such as congestion and reduced pedestrian mobility. These costs should be included in a comprehensive analysis. Copyright 1998 by The London School of Economics and Political Science

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Bibliographic Info

Article provided by London School of Economics and Political Science in its journal Economica.

Volume (Year): 65 (1998)
Issue (Month): 259 (August)
Pages: 429-40

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Handle: RePEc:bla:econom:v:65:y:1998:i:259:p:429-40

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Cited by:
  1. Delhaye, E., 2006. "Traffic safety: Speed limits, strict liability and a km tax," Transportation Research Part A: Policy and Practice, Elsevier, vol. 40(3), pages 205-226, March.
  2. Andrew Dickerson & John Peirson & Roger Vickerman, 1998. "Road Accidents and Traffic Flows: An Econometric Investigation," Studies in Economics 9809, Department of Economics, University of Kent.
  3. Eef Delhaye, 2004. "Traffic safety: speed limits, strict liability and a km tax," Energy, Transport and Environment Working Papers Series ete0407, Katholieke Universiteit Leuven, Centrum voor Economische Studiën, Energy, Transport and Environment.
  4. Simon Shepherd, 2008. "The effect of complex models of externalities on estimated optimal tolls," Transportation, Springer, vol. 35(4), pages 559-577, July.
  5. repec:ebl:ecbull:v:18:y:2004:i:3:p:1-7 is not listed on IDEAS
  6. Steimetz, Seiji S.C., 2008. "Defensive driving and the external costs of accidents and travel delays," Transportation Research Part B: Methodological, Elsevier, vol. 42(9), pages 703-724, November.
  7. Tito Moreira & Adolfo Sachsida & Loureiro Paulo, 2004. "Traffic accidents: an econometric investigation," Economics Bulletin, AccessEcon, vol. 18(3), pages 1-7.
  8. Pål Andreas Pedersen, 2001. "A Game Theoretical Approach to Road Safety," Studies in Economics 0105, Department of Economics, University of Kent.
  9. Schrage, Andrea, 2006. "Traffic Congestion and Accidents," University of Regensburg Working Papers in Business, Economics and Management Information Systems 419, University of Regensburg, Department of Economics.
  10. Verhoef, Erik T. & Rouwendal, Jan, 2004. "A behavioural model of traffic congestion: Endogenizing speed choice, traffic safety and time losses," Journal of Urban Economics, Elsevier, vol. 56(3), pages 408-434, November.

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