How a fast lane may replace a congestion toll
AbstractThis paper considers a congested bottleneck. A fast lane reserves a more than proportional share of capacity to a designated group of travelers. Travelers are otherwise identical and other travelers can use the reserved capacity when it would otherwise be idle. The paper shows that such a fast lane is always Pareto improving under Nash equilibrium in arrival times at the bottleneck and inelastic demand. It can replicate the arrival schedule and queueing outcomes of a toll that optimally charges a constant toll during part of the demand peak. Within some bounds, the fast lane scheme is still welfare improving when demand is elastic.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Elsevier in its journal Transportation Research Part B: Methodological.
Volume (Year): 45 (2011)
Issue (Month): 6 (July)
Contact details of provider:
Web page: http://www.elsevier.com/wps/find/journaldescription.cws_home/548/description#description
Other versions of this item:
- R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Systems - - - Transportation: Demand, Supply, and Congestion
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Richard Arnott & Andre de Palma & Robin Lindsey, 1985.
"Economics of a Bottleneck,"
636, Queen's University, Department of Economics.
- Laih, Chen-Hsiu, 1994. "Queueing at a bottleneck with single- and multi-step tolls," Transportation Research Part A: Policy and Practice, Elsevier, vol. 28(3), pages 197-208, May.
- Vickrey, William S, 1969. "Congestion Theory and Transport Investment," American Economic Review, American Economic Association, vol. 59(2), pages 251-60, May.
- De Palma, André & Fosgerau, Mogens, 2010. "Random queues and risk averse users," MPRA Paper 24215, University Library of Munich, Germany.
- Jasper Knockaert & Erik T. Verhoef & Jan Rouwendal, 2010. "Bottleneck Congestion: Differentiating the Coarse Charge," Tinbergen Institute Discussion Papers 10-097/3, Tinbergen Institute.
- Shen, Wei & Zhang, H.M., 2010. "Pareto-improving ramp metering strategies for reducing congestion in the morning commute," Transportation Research Part A: Policy and Practice, Elsevier, vol. 44(9), pages 676-696, November.
- Chen-Hsiu Laih, 2004. "Effects of the optimal step toll scheme on equilibrium commuter behaviour," Applied Economics, Taylor and Francis Journals, vol. 36(1), pages 59-81.
Blog mentionsAs found by EconAcademics.org, the blog aggregator for Economics research:
- Dealing with congestion: fast lane or toll booth?
by Economic Logician in Economic Logic on 2012-12-03 15:11:00
- Robin Lindsey, C. & van den Berg, Vincent A.C. & Verhoef, Erik T., 2012. "Step tolling with bottleneck queuing congestion," Journal of Urban Economics, Elsevier, vol. 72(1), pages 46-59.
- Berg, V.A.C. van den, 2012. "Step tolling with price sensitive demand: Why more steps in the toll makes the consumer better off," Serie Research Memoranda 0003, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wendy Shamier).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.