The optimal cordon-based network congestion pricing problem
This paper investigates the cordon-based second-best congestion-pricing problems on road networks, including optimal selection of both toll levels and toll locations. A road network is viewed as a directed graph and the cutset concept in graph theory is used to describe the mathematical properties of a toll cordon by examining the incidence matrix of the network. Maximization of social welfare is sought subject to the elastic-demand traffic equilibrium constraint. A mathematical programming model with mixed (integer and continuous) variables is formulated and solved by a combined use of a binary genetic algorithm and a grid search method for simultaneous determination of the toll levels and cordon locations on the networks. The model and algorithm are demonstrated with a numerical example.
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Volume (Year): 38 (2004)
Issue (Month): 6 (July)
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- May, A. D. & Liu, R. & Shepherd, S. P. & Sumalee, A., 2002. "The impact of cordon design on the performance of road pricing schemes," Transport Policy, Elsevier, vol. 9(3), pages 209-220, July.
- Mun, Se-il & Konishi, Ko-ji & Yoshikawa, Kazuhiro, 2003. "Optimal cordon pricing," Journal of Urban Economics, Elsevier, vol. 54(1), pages 21-38, July.
- Verhoef, Erik T., 2002. "Second-best congestion pricing in general networks. Heuristic algorithms for finding second-best optimal toll levels and toll points," Transportation Research Part B: Methodological, Elsevier, vol. 36(8), pages 707-729, September.
- Yang, Hai & Huang, Hai-Jun, 1998. "Principle of marginal-cost pricing: how does it work in a general road network?," Transportation Research Part A: Policy and Practice, Elsevier, vol. 32(1), pages 45-54, January.
- Hai Yang, 1999. "System Optimum, Stochastic User Equilibrium, and Optimal Link Tolls," Transportation Science, INFORMS, vol. 33(4), pages 354-360, November.
- May, A. D. & Milne, D. S., 2000. "Effects of alternative road pricing systems on network performance," Transportation Research Part A: Policy and Practice, Elsevier, vol. 34(6), pages 407-436, August.
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