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Optimal cordon pricing in a non-monocentric city

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Author Info
Mun, Se-il
Konishi, Ko-ji
Yoshikawa, Kazuhiro

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Abstract

This paper examines the effect of cordon pricing based on an urban spatial model of a non-monocentric city where trips may occur between any pair of locations in the city. The model describes the spatial distribution of trip demand and traffic congestion under alternative pricing schemes. We evaluate the efficiency of resource allocation by comparing three schemes: no-toll equilibrium, first-best optimum, and optimal cordon pricing. Optimal cordon pricing is defined as a combination of cordon location and toll level that maximizes the social surplus in a city. Simulations show that cordon pricing is not always effective for congestion management: cordon pricing tends to be effective as the urban structure is more monocentric.

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File URL: http://www.sciencedirect.com/science/article/B6VG7-4G0YT9T-1/2/679310695fa18cdb9012e307fdda4bf8
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Article provided by Elsevier in its journal Transportation Research Part A: Policy and Practice.

Volume (Year): 39 (2005)
Issue (Month): 7-9 ()
Pages: 723-736
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Handle: RePEc:eee:transa:v:39:y:2005:i:7-9:p:723-736

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  1. Safirova, Elena A. & Houde, Sébastien & Lipman, D. Abram & Harrington, Winston & Bagliano, Andrew D., 2006. "Congestion Pricing: Long-Term Economic and Land-Use Effects," Discussion Papers dp-06-37, Resources For the Future. [Downloadable!]
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