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The politico-economic link between public transport and road pricing: An ex-ante study of the Stockholm road-pricing trial

  • Armelius, Hanna
  • Hultkrantz, Lars

A full-scale road pricing trial will be performed in Stockholm for 7 months in 2006. The road tolls are bundled with major improvements of public transport. The trial will be followed by a local referendum. We conduct numerical simulations with a model of modal choice to estimate the welfare effects of road tolls on commuters crossing the toll zone. We find that in the absence of revenue recycling, few commuters gain from the road-toll reform. However, the fraction of gainers rises considerably when public transport is improved as planned in Stockholm.

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Article provided by Elsevier in its journal Transport Policy.

Volume (Year): 13 (2006)
Issue (Month): 2 (March)
Pages: 162-172

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Handle: RePEc:eee:trapol:v:13:y:2006:i:2:p:162-172
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  1. Glazer, Amihai & Niskanen, Esko, 2000. "Which consumers benefit from congestion tolls?," University of California Transportation Center, Working Papers qt70v033nx, University of California Transportation Center.
  2. Torsten Persson & Guido Tabellini, . "Political Economics and Public Finance," Working Papers 149, IGIER (Innocenzo Gasparini Institute for Economic Research), Bocconi University.
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  5. Parry, Ian & Bento, Antonio, 1999. "Revenue Recycling and the Welfare Effects of Road Pricing," Discussion Papers dp-99-45, Resources For the Future.
  6. Hanna Armelius, 2005. "An Integrated Approach to Urban Road Pricing," Journal of Transport Economics and Policy, University of Bath, vol. 39(1), pages 75-92, January.
  7. Charles Raux & Stéphanie Souche, 2004. "The Acceptability of Urban Road Pricing: A Theoretical Analysis Applied to Experience in Lyon," Journal of Transport Economics and Policy, University of Bath, vol. 38(2), pages 191-215, May.
  8. Stef Proost & Akshaya Sen, 2005. "Urban Transport Pricing Reform With Two Levels Of Government," Energy, Transport and Environment Working Papers Series ete0503, KU Leuven, Department of Economics - Research Group Energy, Transport and Environment.
  9. S. Jaensirisak & M. Wardman & A. D. May, 2005. "Explaining Variations in Public Acceptability of Road Pricing Schemes," Journal of Transport Economics and Policy, University of Bath, vol. 39(2), pages 127-154, May.
  10. Prud'homme, Rémy & Bocarejo, Juan Pablo, 2005. "The London congestion charge: a tentative economic appraisal," Transport Policy, Elsevier, vol. 12(3), pages 279-287, May.
  11. Ingemar Ahlstrand, 2001. "The Politics and Economics of Transport Investment and Pricing in Stockholm," Journal of Transport Economics and Policy, University of Bath, vol. 35(3), pages 473-489, September.
  12. Kockelman, Kara M. & Kalmanje, Sukumar, 2005. "Credit-based congestion pricing: a policy proposal and the public's response," Transportation Research Part A: Policy and Practice, Elsevier, vol. 39(7-9), pages 671-690.
  13. Jens Schade & Bernhard Schlag, 2000. "Acceptability of Urban Transport Pricing," Research Reports 72, Government Institute for Economic Research Finland (VATT).
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