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Getting out of the car: an institutional/evolutionary approach to sustainable transport policies

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Abstract

Orthodox economics sees transport as a market which can be made more sustainable by improving its self-regulating capacity. To date this static approach has not been able to limit the growing demand for transport and its increasing environmental impact. Better results might be obtained by using evolutionary and institutional economics. Starting from these theories, a sustainable transport policy should be based on three fundamental considerations. First, transport is not a market, but a sum of systems affected by path-dependence and lock-in phenomena. Second, transport is not sustainable because it is locked in environmentally sub-optimal systems. Third, structural changes in technologies and organisations, institutions, and values are needed to establish more sustainable transport systems. We give an example of the use of an institutional/evolutionary approach to sustainable transport policies in the transition from the system of mass motorisation to the new urban mobility system.

Suggested Citation

  • G. Marletto, 2008. "Getting out of the car: an institutional/evolutionary approach to sustainable transport policies," Working Paper CRENoS 200814, Centre for North South Economic Research, University of Cagliari and Sassari, Sardinia.
    • Handle: RePEc:cns:cnscwp:200814
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    References listed on IDEAS

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    1. Geoffrey M. Hodgson (ed.), 1993. "The Economics of Institutions," Books, Edward Elgar Publishing, number 557.
    2. René Kemp & Jan Rotmans, 2005. "The Management of the Co-Evolution of Technical, Environmental and Social Systems," Springer Books, in: Matthias Weber & Jens Hemmelskamp (ed.), Towards Environmental Innovation Systems, pages 33-55, Springer.
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    More about this item

    Keywords

    sustainable transportation; transport policy; environmental economics; institutional economics; evolutionary economics;
    All these keywords.

    JEL classification:

    • R40 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - General
    • B52 - Schools of Economic Thought and Methodology - - Current Heterodox Approaches - - - Historical; Institutional; Evolutionary; Modern Monetary Theory;
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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