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Chapter 11 French multi-modal transport funds: issues of cross-financing and pricing

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  • Raux, Charles
  • Mercier, Aurélie
  • Souche, Stéphanie

Abstract

This paper assesses the efficiency of cross-financing new motorway or rail projects from established toll motorways as an alternative to direct public subsidies. For new motorway projects a combination of short-run marginal social cost pricing and cross-financing is the best of the alternative schemes tested for increasing overall welfare. Regarding the Lyon-Turin rail project, an alpine fund supplied by toll mark-ups on the Alpine motorways in combination with the same national transport fund as in the road case study, would eliminate the need for public subsidies and simultaneously improve the financial balances of the rail operator and manager.

Suggested Citation

  • Raux, Charles & Mercier, Aurélie & Souche, Stéphanie, 2007. "Chapter 11 French multi-modal transport funds: issues of cross-financing and pricing," Research in Transportation Economics, Elsevier, vol. 19(1), pages 243-268, January.
  • Handle: RePEc:eee:retrec:v:19:y:2007:i:1:p:243-268
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    References listed on IDEAS

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    1. Daniel Lebègue & Philippe Hirtzman & Luc Baumstark, 2005. "Le prix du temps et la décision publique," Post-Print halshs-00078938, HAL.
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    Cited by:

    1. Emile Quinet, 2010. "Issues of Price Definition in CBA: Imperfect Competition and Relative Prices Divergences," Transition Studies Review, Springer;Central Eastern European University Network (CEEUN), vol. 17(3), pages 568-586, September.
    2. André Palma & Stef Proost & Saskia Loo, 2012. "Network Development Under a Strict Self-Financing Constraint," Networks and Spatial Economics, Springer, vol. 12(1), pages 109-127, March.

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