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Congestion Tolling and Urban Spatial Structure

  • Richard Arnott


    (Boston College)

According to the standard model of urban traffic congestion and urban spatial structure, congestion tolling results in a more concentrated city. In recent years, a new model of rush hour urban auto congestion has been developed which incorporates trip-timing decisions: the bottleneck model. In the simplest bottleneck model, optimal congestion tolling without toll revenue redistribution has no effect on trip price since the efficiency gains exactly equal the toll revenue collected. Optimal congestion tolling then has no effect on urban spatial structure. This paper formalizes this result and extends it somewhat.

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Paper provided by Boston College Department of Economics in its series Boston College Working Papers in Economics with number 389..

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Length: 21 pages
Date of creation: 07 Nov 1997
Date of revision:
Handle: RePEc:boc:bocoec:389
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  1. Small, Kenneth A. & Chu, Xuehao, 2000. "Hypercongestion," University of California Transportation Center, Working Papers qt3nn3733q, University of California Transportation Center.
    • Small, K.A. & Chu, X., 1997. "Hypercongestion," Papers 97-98-12, California Irvine - School of Social Sciences.
  2. Richard Arnott & Andre de Palma & Robin Lindsey, 1993. "The Welfare Effects Of Congestion Tolls With Heterogeneous Commuters," Boston College Working Papers in Economics 231, Boston College Department of Economics.
  3. Richard Arnott & Marvin Kraus, 2003. "Transport Economics," Boston College Working Papers in Economics 553, Boston College Department of Economics.
  4. Arnott, R. & De Palma, A. & Lindsey, R., 1992. "Properties of Dynamic Traffic Equilibrium Involving Bottlenecks, Including A Paradox and Metering," Papers 9201, Universite Libre de Bruxelles - C.E.M.E..
  5. Fujita, Masahisa & Ogawa, Hideaki, 1982. "Multiple equilibria and structural transition of non-monocentric urban configurations," Regional Science and Urban Economics, Elsevier, vol. 12(2), pages 161-196, May.
  6. Vickrey, William S, 1969. "Congestion Theory and Transport Investment," American Economic Review, American Economic Association, vol. 59(2), pages 251-60, May.
  7. Arnott, Richard & de Palma, Andre & Lindsey, Robin, 1993. "A Structural Model of Peak-Period Congestion: A Traffic Bottleneck with Elastic Demand," American Economic Review, American Economic Association, vol. 83(1), pages 161-79, March.
  8. Kanemoto, Yoshitsugu, 1980. "Theories of urban externalities," MPRA Paper 24614, University Library of Munich, Germany.
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