IDEAS home Printed from https://ideas.repec.org/a/cje/issued/v44y2011i1p290-324.html

Congestion pricing of Canadian airports

Author

Listed:
  • Joseph I. Daniel

Abstract

Under congestion pricing, Canadian airports would annually save between $72 and $105 million. Social costs per landing and takeoff decrease about $300 at Toronto and Vancouver and $50 at Calgary and Montreal. Slot constraints fail to eliminate this airport congestion. Congestion prices are lower on average than existing weight-based prices. Current airport capacity accommodates at least five more years of traffic growth before congestion reaches current levels. Substantial welfare gains occur even if dominant airlines already internalize their self-imposed delays. This article calculates equilibrium congestion pricing schedules, traffic rates, queuing delays, layover times, and connection times by time of day.

Suggested Citation

  • Joseph I. Daniel, 2011. "Congestion pricing of Canadian airports," Canadian Journal of Economics, Canadian Economics Association, vol. 44(1), pages 290-324, February.
    • Handle: RePEc:cje:issued:v:44:y:2011:i:1:p:290-324
    DOI: 10.1111/j.1540-5982.2010.01633.x
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/j.1540-5982.2010.01633.x
    Download Restriction: access restricted to subscribers
    File URL: https://libkey.io/10.1111/j.1540-5982.2010.01633.x?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to look for a different version below or

    for a different version of it.

    Other versions of this item:

    Citations

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


    Cited by:

    1. Zhang, Anming & Czerny, Achim I., 2012. "Airports and airlines economics and policy: An interpretive review of recent research," Economics of Transportation, Elsevier, vol. 1(1), pages 15-34.
    2. Lin, Ming Hsin & Zhang, Anming, 2016. "Hub congestion pricing: Discriminatory passenger charges," Economics of Transportation, Elsevier, vol. 5(C), pages 37-48.
    3. Noruzoliaee, Mohamadhossein & Zou, Bo & Zhang, Anming, 2015. "Airport partial and full privatization in a multi-airport region: Focus on pricing and capacity," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 77(C), pages 45-60.
    4. Dixit, Aasheesh Kumar & Shakya, Garima & Jakhar, Suresh Kumar & Nath, Swaprava, 2023. "Algorithmic mechanism design for egalitarian and congestion-aware airport slot allocation," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 169(C).
    5. Lin, Ming Hsin & Zhang, Yimin, 2017. "Hub-airport congestion pricing and capacity investment," Transportation Research Part B: Methodological, Elsevier, vol. 101(C), pages 89-106.
    6. Czerny, Achim I. & Zhang, Anming, 2014. "Airport peak-load pricing revisited: The case of peak and uniform tolls," Economics of Transportation, Elsevier, vol. 3(1), pages 90-101.
    7. Daniel, Joseph I, 2014. "The untolled problems with airport slot constraints," Economics of Transportation, Elsevier, vol. 3(1), pages 16-28.
    8. Ater, Itai, 2012. "Internalization of congestion at US hub airports," Journal of Urban Economics, Elsevier, vol. 72(2), pages 196-209.
    9. Hu, Rong & Chen, Lin & Zheng, Lijun, 2018. "Congestion pricing and environmental cost at Guangzhou Baiyun International Airport," Journal of Air Transport Management, Elsevier, vol. 70(C), pages 126-132.
    10. Li, Zhi-Chun & Huang, Hai-Jun & Yang, Hai, 2020. "Fifty years of the bottleneck model: A bibliometric review and future research directions," Transportation Research Part B: Methodological, Elsevier, vol. 139(C), pages 311-342.
    11. Dixit, Aasheesh & Kumar, Patanjal & Jakhar, Suresh Kumar, 2022. "Effectiveness of carbon tax and congestion cost in improving the airline industry greening level and welfare: A case of two competing airlines," Journal of Air Transport Management, Elsevier, vol. 100(C).
    12. Czerny, Achim I. & Zhang, Anming, 2014. "Airport congestion pricing when airlines price discriminate," Transportation Research Part B: Methodological, Elsevier, vol. 65(C), pages 77-89.
    13. Ugirumurera, Juliette & Severino, Joseph & Ficenec, Karen & Ge, Yanbo & Wang, Qichao & Williams, Lindy & Chae, Junghoon & Lunacek, Monte & Phillips, Caleb, 2021. "A modeling framework for designing and evaluating curbside traffic management policies at Dallas-Fort Worth International Airport," Transportation Research Part A: Policy and Practice, Elsevier, vol. 153(C), pages 130-150.

    More about this item

    JEL classification:

    • R4 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics
    • H2 - Public Economics - - Taxation, Subsidies, and Revenue

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:cje:issued:v:44:y:2011:i:1:p:290-324. See general information about how to correct material in RePEc.

    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.

    We have no bibliographic references for this item. You can help adding them by using 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Prof. Werner Antweiler (email available below). General contact details of provider: https://edirc.repec.org/data/ceaaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.