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Pricing Road Congestion: Recent Evidence from Singapore
Author(s) -
McCarthy Patrick S.,
Tay Richard
Publication year - 1993
Publication title -
policy studies journal
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.773
H-Index - 69
eISSN - 1541-0072
pISSN - 0190-292X
DOI - 10.1111/j.1541-0072.1993.tb01823.x
Subject(s) - singapore area licensing scheme , road pricing , externality , congestion pricing , traffic congestion , business , resource allocation , economics , resource (disambiguation) , transport engineering , environmental economics , public economics , microeconomics , computer science , engineering , market economy , computer network
The role of road pricing in travel demand management and congestion mitigation has been gaining support in many countries. Although the theory of congestion pricing is persuasive and straightforward, successful application of road pricing mandates that congestion externalities be estimated. Using data from a recent traffic survey in Singapore, this paper estimates congestion prices for alternative time values and vehicle types. These estimates are compared with the existing cost of area licenses, from which implications for economic efficiency and resource allocation are drawn.