The Effect of Government Highway Spending on Road Users' Congestion Costs
AbstractPolicymakers attempt to reduce the growth of congestion by spending billions of dollars annually on our road system. We evaluate this policy by estimating the determinants of congestion costs for motorists, trucking operations, and shipping firms. We find that, on average, one dollar of highway spending in a given year reduces the congestion costs to road users only eleven cents in that year. We also find that even if the allocation of spending were optimized to minimize congestion costs that it still is not a cost-effective way to reduce congestion. We conclude the evidence strengthens the case for road pricing.
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.
Bibliographic InfoPaper provided by Regulation2point0 in its series Working paper with number 121.
Date of creation: May 2006
Date of revision:
Contact details of provider:
Web page: http://regulation2point0.org/
Other versions of this item:
- Winston, Clifford & Langer, Ashley, 2006. "The effect of government highway spending on road users' congestion costs," Journal of Urban Economics, Elsevier, vol. 60(3), pages 463-483, November.
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Daniel Albalate & Germa Bel, 2008. "Shaping urban traffic patterns through congestion charging: What factors drive success or failure?," IREA Working Papers 200801, University of Barcelona, Research Institute of Applied Economics, revised Jan 2008.
- JoongKoo Cho & Peter Gordon & James E. Moore II & Qisheng Pan & JiYoung Park & Harry W. Richardson, 2014. "TransNIEMO: Economic Impact Analysis Using a Model of Consistent Interregional Economic and Network Equilibria," CESifo Working Paper Series 4601, CESifo Group Munich.
- World Bank, 2012. "Arab Republic of Egypt - Reshaping Egypt's Economic Geography : Domestic Integration as a Development Platform, Volume 1," World Bank Other Operational Studies 11903, The World Bank.
- McArthur, D.P. & Thorsen, I. & Ubøe, J., 2012. "Labour market effects in assessing the costs and benefits of road pricing," Transportation Research Part A: Policy and Practice, Elsevier, vol. 46(2), pages 310-321.
- World Bank, 2012. "Reshaping Egypt's Economic Geography : Domestic Integration as a Development Platform," World Bank Other Operational Studies 11869, The World Bank.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Archive Maintainer).
If references are entirely missing, you can add them using this form.