Advanced Search
MyIDEAS: Login to save this paper or follow this series

The Economics of Truck Toll Lanes

Contents:

Author Info

  • Andre De Palma

    ()

  • Moez Kilani

    ()

  • Robin Lindsey

    ()

Abstract

This paper extends an earlier paper by the authors ("Maintenance and congestion pricing with competing roads" presented at ERSA 2005) by introducing two user groups: heavy and light vehicles (viz. trucks and cars). This extension is important since heavy vehicles generate higher congestion and (much) higher pavement damage externalities than do light vehicles. The model features a simple road network with two routes linking a common origin and destination. Pavement quality on each route depreciates with usage and due to natural weathering. Three administration regimes are analysed. The first two regimes are the second best and first best optima. In the second-best regime maintenance levels are chosen for the two routes, but no tolls are applied. In the first-best regime, both maintenance levels and tolls are set to support an optmal division of traffic between the two routes as well as an optimal quality of service. The final regime is a Duopoly. In this regime each route is owned and operated by a different firm that maximises its own profit by choosing a maintenance level and a toll. The analysis (which is still in progress) entails solution and comparison of the outcomes of the three administration regimes. Among other things, we are interested to see in which regimes routes are differentiated so that one route is mainly used by heavy vehicles and the other by light vehicles. Preliminary results suggest that (as in the case of homogeneous users) private ownership is distorted towards excessive tolls and low maintenance effort.

Download Info

If 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.
File URL: http://www-sre.wu-wien.ac.at/ersa/ersaconfs/ersa06/papers/896.pdf
Download Restriction: no

Bibliographic Info

Paper provided by European Regional Science Association in its series ERSA conference papers with number ersa06p896.

as in new window
Length:
Date of creation: Aug 2006
Date of revision:
Handle: RePEc:wiw:wiwrsa:ersa06p896

Contact details of provider:
Postal: Welthandelsplatz 1, 1020 Vienna, Austria
Web page: http://www.ersa.org

Related research

Keywords:

Other versions of this item:

Find related papers by JEL classification:

This paper has been announced in the following NEP Reports:

References

References listed on IDEAS
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.:
as in new window
  1. Verhoef, Erik T. & Rouwendal, Jan & Rietveld, Piet, 1999. "Congestion Caused by Speed Differences," Journal of Urban Economics, Elsevier, vol. 45(3), pages 533-556, May.
  2. Jan Rouwendal & Erik T. Verhoef & Piet Rietveld & Bert Zwart, 2000. "A Stochastic Model of Congestion caused by Speed Differences," Tinbergen Institute Discussion Papers 00-091/3, Tinbergen Institute.
  3. Arnott, R. & De Palma, A. & Lindseyt, R., 1995. "Recent Developments in the Bottleneck Model," Papers 9523, Paris X - Nanterre, U.F.R. de Sc. Ec. Gest. Maths Infor..
  4. Small, K.A. & Gomez-Ibanez, J.A., 1996. "Urban Transportation," Papers 95-96-4, California Irvine - School of Social Sciences.
  5. Small, K.A. & Yan, J., 1999. "The Value of "Value Princing" of Roads: Second-Best Pricing and Product Differentiation," Papers 99-00-02, California Irvine - School of Social Sciences.
  6. Arnott, Richard & de Palma, Andre & Lindsey, Robin, 1992. "Route choice with heterogeneous drivers and group-specific congestion costs," Regional Science and Urban Economics, Elsevier, vol. 22(1), pages 71-102, March.
  7. Dahlgren, Joy, 1998. "High occupancy vehicle lanes: Not always more effective than general purpose lanes," Transportation Research Part A: Policy and Practice, Elsevier, vol. 32(2), pages 99-114, February.
  8. Brozovic, Nicholas & Ando, Amy Whritenour, 2009. "Defensive purchasing, the safety (dis)advantage of light trucks, and motor-vehicle policy effectiveness," Transportation Research Part B: Methodological, Elsevier, vol. 43(5), pages 477-493, June.
  9. Small, Kenneth A., 2001. "The Value of Pricing," University of California Transportation Center, Working Papers qt0rm449sx, University of California Transportation Center.
  10. Erik T. Verhoef & Kenneth A. Small, 2004. "Product Differentiation on Roads," Journal of Transport Economics and Policy, London School of Economics and University of Bath, vol. 38(1), pages 127-156, January.
  11. Dahlgren, Joy, 2002. "High-occupancy/toll lanes: where should they be implemented?," Transportation Research Part A: Policy and Practice, Elsevier, vol. 36(3), pages 239-255, March.
  12. Parry, Ian W.H., 2008. "How should heavy-duty trucks be taxed?," Journal of Urban Economics, Elsevier, vol. 63(2), pages 651-668, March.
  13. Barro, Robert J & Romer, Paul M, 1987. "Ski-Lift Pricing, with Applications to Labor and Other," American Economic Review, American Economic Association, vol. 77(5), pages 875-90, December.
  14. Ted Gayer, 2004. "The Fatality Risks of Sport-Utility Vehicles, Vans, and Pickups Relative to Cars," Journal of Risk and Uncertainty, Springer, vol. 28(2), pages 103-133, 03.
Full references (including those not matched with items on IDEAS)

Citations

Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
as in new window

Cited by:
  1. Holgun-Veras, Jos & Cetin, Mecit, 2009. "Optimal tolls for multi-class traffic: Analytical formulations and policy implications," Transportation Research Part A: Policy and Practice, Elsevier, vol. 43(4), pages 445-467, May.

Lists

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

Statistics

Access and download statistics

Corrections

When requesting a correction, please mention this item's handle: RePEc:wiw:wiwrsa:ersa06p896. See general information about how to correct material in RePEc.

For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Gunther Maier).

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.