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The Ideal Source of Local Public Revenue


  • Shoup, Donald C.


Free or underpriced curb parking creates a classic commons problem. Studies have found that between 8% and 74% of cars in congested traffic were cruising in search of curb parking, and that the average time to find a curb space ranged between 3 and 14 min. Cities can eliminate the economic incentive to cruise by charging market-clearing prices for curb parking spaces. Market-priced curb parking can yield between 5% and 8% of the total land rent in a city, and in some neighborhoods can yield more revenue than the property tax.

Suggested Citation

  • Shoup, Donald C., 2004. "The Ideal Source of Local Public Revenue," University of California Transportation Center, Working Papers qt3x03s541, University of California Transportation Center.
  • Handle: RePEc:cdl:uctcwp:qt3x03s541

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    References listed on IDEAS

    1. Shoup, Donald C., 1994. "Cashing in on Curb Parking," University of California Transportation Center, Working Papers qt4z3061mk, University of California Transportation Center.
    2. Shoup, Donald C., 1999. "The trouble with minimum parking requirements," Transportation Research Part A: Policy and Practice, Elsevier, vol. 33(7-8), pages 549-574.
    3. Kolozsvari, Douglas & Shoup, Donald, 2003. "Turning Small Change into Big Changes," University of California Transportation Center, Working Papers qt3vq8794s, University of California Transportation Center.
    4. Ellickson, Bryan, 1973. "A Generalization of the Pure Theory of Public Goods," American Economic Review, American Economic Association, vol. 63(3), pages 417-432, June.
    5. Steven Raphael & Michael A. Stoll, 2000. "Can Boosting Minority Car-Ownership Rates Narrow Inter-Racial Employment Gaps," JCPR Working Papers 200, Northwestern University/University of Chicago Joint Center for Poverty Research.
    6. Saltzman, Robert M., 1994. "Three proposals for improving short-term on-street parking," Socio-Economic Planning Sciences, Elsevier, vol. 28(2), pages 85-100.
    7. Harrington, Winston & Krupnick, Alan J. & Alberini, Anna, 2001. "Overcoming public aversion to congestion pricing," Transportation Research Part A: Policy and Practice, Elsevier, vol. 35(2), pages 87-105, February.
    8. Arnott, Richard & Rowse, John, 1999. "Modeling Parking," Journal of Urban Economics, Elsevier, vol. 45(1), pages 97-124, January.
    9. Richard L. Pollock & Donald C. Shoup, 1977. "The Effect of Shifting the Property Tax Base from Improvement Value to Land Value: An Empirical Estimate," Land Economics, University of Wisconsin Press, vol. 53(1), pages 67-77.
    10. Shoup, Donald C, 2003. "Buying Time at the Curb," University of California Transportation Center, Working Papers qt2wz7401k, University of California Transportation Center.
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    Cited by:

    1. Rouhani, Omid M. & Knittel, Christopher R. & Niemeier, Debbie, 2014. "Road Supply in Central London: Addition of an Ignored Social Cost," Journal of the Transportation Research Forum, Transportation Research Forum, vol. 53(1).
    2. Jesper de Groote & Jos van Ommeren & Hans R.A. Koster, 2017. "The Impact of Parking Policy on House Prices," Tinbergen Institute Discussion Papers 17-037/VIII, Tinbergen Institute.
    3. W. Bowman Cutter & Sofia F. Franco, 2012. "The uneasy case for lower Parking Standards," FEUNL Working Paper Series wp564, Universidade Nova de Lisboa, Faculdade de Economia.
    4. repec:gam:jsusta:v:8:y:2016:i:2:p:164:d:63715 is not listed on IDEAS
    5. Guo, Zhan & McDonnell, Simon, 2013. "Curb parking pricing for local residents: An exploration in New York City based on willingness to pay," Transport Policy, Elsevier, vol. 30(C), pages 186-198.
    6. van Ommeren, Jos & de Groote, Jesper & Mingardo, Giuliano, 2014. "Residential parking permits and parking supply," Regional Science and Urban Economics, Elsevier, vol. 45(C), pages 33-44.
    7. Zhang, Rong & Zhu, Lichao, 2016. "Curbside parking pricing in a city centre using a threshold," Transport Policy, Elsevier, vol. 52(C), pages 16-27.
    8. Cutter, W. Bowman & Franco, Sofia F., 2012. "Do parking requirements significantly increase the area dedicated to parking? A test of the effect of parking requirements values in Los Angeles County," Transportation Research Part A: Policy and Practice, Elsevier, vol. 46(6), pages 901-925.
    9. Levy, Nadav & Render, Marc & Benenson, Itzhak, 2015. "Spatially explicit modeling of parking search as a tool for urban parking facilities and policy assessment," Transport Policy, Elsevier, vol. 39(C), pages 9-20.
    10. van Ommeren, Jos & Wentink, Derk & Dekkers, Jasper, 2011. "The real price of parking policy," Journal of Urban Economics, Elsevier, vol. 70(1), pages 25-31, July.
    11. Gallo, Mariano & D'Acierno, Luca & Montella, Bruno, 2011. "A multilayer model to simulate cruising for parking in urban areas," Transport Policy, Elsevier, vol. 18(5), pages 735-744, September.
    12. Inci, Eren, 2015. "A review of the economics of parking," Economics of Transportation, Elsevier, vol. 4(1), pages 50-63.
    13. Franco, Sofia & Cutter, Bowman & DeWoody, Autumn, 2010. "Do Parking Requirements Significantly Increase The Area Dedicated To Parking? A Test Of The Effect Of Parking Requirements Values In Los Angeles County," MPRA Paper 20403, University Library of Munich, Germany.
    14. Juan Li & Jing Ye & Qinglian He & Chunfu Shao, 2016. "A Novel Scheme to Relieve Parking Pressure at Tourist Attractions on Holidays," Sustainability, MDPI, Open Access Journal, vol. 8(2), pages 1-11, February.


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