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The marginal cost for pavement renewal - a duration analysis approach

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  • Haraldsson, Mattias

    ()
    (VTI)

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    Abstract

    The wear and tear of an extra vehicle that uses a road results in advancement of future repavements. This increases the present value cost of these repavements, which is interpreted as the marginal cost. Using a large data set covering all pavement renewals on the Swedish national road network since the 1950s, deterioration elasticities that express the relation between traffic intensity and the pavement lifetime are estimated and are then used to compute marginal costs. The elasticities for heavy goods vehicles and passenger cars are found to be small and marginal costs are accordingly low.

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    File URL: http://www.transportportal.se/SWoPEc/Swopec%20durationsmodell.pdf
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    Bibliographic Info

    Paper provided by Swedish National Road & Transport Research Institute (VTI) in its series Working Papers with number 2007:8.

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    Length: 23 pages
    Date of creation: 03 Sep 2007
    Date of revision:
    Handle: RePEc:hhs:vtiwps:2007_008

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    Postal: VTI, Transport Economics, P.O. Box 6056, SE-171 06 Solna, Sweden
    Phone: +46-13-20 40 00
    Fax: +46-13-14 14 36
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    Web page: http://www.vti.se/tek
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    Related research

    Keywords: Marginal cost; duration analysis; pavement renewal;

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    Cited by:
    1. Anani, Shadi B. & Madanat, Samer M, 2010. "Estimation of Highway Maintenance Marginal Cost under Multiple Maintenance Activities," University of California Transportation Center, Working Papers qt0fh705xg, University of California Transportation Center.

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