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For whom the tunnel be tolled: A four-factor model for explaining willingness-to-pay tolls

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  • Yusuf, Juita-Elena (Wie)
  • O’Connell, Lenahan
  • Anuar, Khairul A.

Abstract

This research examines citizen acceptance of tolls and road pricing, and specifically focuses on determinants of the individual’s expressed willingness-to-pay tolls to use a tunnel express lane that would be free of traffic delays. We answer the research question “What factors influence citizens’ willingness-to-pay tolls” by empirically estimating a four factor model of willingness-to-pay: (a) direct benefit to the respondent; (b) relative cost over time; (c) community concern; and (d) political and environmental liberalism. We use data about citizen perceptions from the Life in Hampton Roads Survey, a survey of residents of Hampton Roads, Virginia. We find that willingness-to-pay is primarily driven and motivated by self-interest, through a balancing of benefit to cost relative to individual income and frequency of use. In addition, concern for the community also contributes to willingness-to-pay tolls. The individual’s perception of government’s trustworthiness, a reflection of political and environmental beliefs, also influences the extent to which an individual is willing to pay tolls.

Suggested Citation

  • Yusuf, Juita-Elena (Wie) & O’Connell, Lenahan & Anuar, Khairul A., 2014. "For whom the tunnel be tolled: A four-factor model for explaining willingness-to-pay tolls," Transportation Research Part A: Policy and Practice, Elsevier, vol. 59(C), pages 13-21.
    • Handle: RePEc:eee:transa:v:59:y:2014:i:c:p:13-21
    DOI: 10.1016/j.tra.2013.10.021
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    4. Juan Gomez & Anestis Papanikolaou & José Manuel Vassallo, 2017. "Users’ perceptions and willingness to pay in interurban toll roads: identifying differences across regions from a nationwide survey in Spain," Transportation, Springer, vol. 44(3), pages 449-474, May.
    5. Harvey, Joan & Thorpe, Neil & Caygill, Matthew & Namdeo, Anil, 2014. "Public attitudes to and perceptions of high speed rail in the UK," Transport Policy, Elsevier, vol. 36(C), pages 70-78.
    6. Glavic, Drazenko & Milos, Mladenovic & Luttinen, Tapio & Cicevic, Svetlana & Trifunovic, Aleksandar, 2017. "Road to price: User perspectives on road pricing in transition country," Transportation Research Part A: Policy and Practice, Elsevier, vol. 105(C), pages 79-94.
    7. Gomez, Juan & Papanikolaou, Anestis & Vassallo, José Manuel, 2016. "Measuring regional differences in users' perceptions towards interurban toll roads," Journal of Transport Geography, Elsevier, vol. 54(C), pages 22-33.

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