Voting on traffic congestion policy with two levels of government
I study how the political decision process affects urban traffic congestion policy. First, I look at the case of a single government deciding, through majority voting, on a monetary charge to be paid to drive to a city's Central Business District (CBD): if the majority of individuals prefers to drive more (resp. less) than the average, a voting equilibrium with lower (higher) charge emerges. Next, I consider the case of two government levels involved in traffic policy: parking charges in (resp. cordon tolls around) a city's CBD and capacity investments are chosen by a local (resp. regional) government, through a majority voting process. While tax exporting motives and the imperfect coordination among the two governments may lead to higher overall charges than in the case of a single government, strong preferences for driving across the population can still bring to an equilibiurm with suboptimal total charges.
|Date of creation:||06 Nov 2010|
|Date of revision:|
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- Parry, I. W. H., 2002.
"Comparing the efficiency of alternative policies for reducing traffic congestion,"
Journal of Public Economics,
Elsevier, vol. 85(3), pages 333-362, September.
- Parry, Ian, 2000. "Comparing the Efficiency of Alternative Policies for Reducing Traffic Congestion," Discussion Papers dp-00-28, Resources For the Future.
- Arnott, Richard & Inci, Eren, 2006.
"An integrated model of downtown parking and traffic congestion,"
Journal of Urban Economics,
Elsevier, vol. 60(3), pages 418-442, November.
- Richard Arnott & Eren Inci, 2005. "An Integrated Model of Downtown Parking and Traffic Congestion," Boston College Working Papers in Economics 608, Boston College Department of Economics.
- Richard Arnott & Eren Inci, 2005. "An Integrated Model of Downtown Parking and Traffic Congestion," NBER Working Papers 11118, National Bureau of Economic Research, Inc.
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