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Optimal environmental road pricing

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  • Johansson-Stenman, Olof

Abstract

An optimal first-best road charge should not only be differentiated with respect to factors that affect the direct external environmental and time costs from the road-user himself. Indirect effects, such as the fact that other cars will be more polluting when congestion increases, should also be taken into account.
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Suggested Citation

  • Johansson-Stenman, Olof, 2006. "Optimal environmental road pricing," Economics Letters, Elsevier, vol. 90(2), pages 225-229, February.
    • Handle: RePEc:eee:ecolet:v:90:y:2006:i:2:p:225-229
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    References listed on IDEAS

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    1. Newbery, David M, 1987. "Road User Charges in Britain," Economic Journal, Royal Economic Society, vol. 98(390), pages 161-176, Supplemen.
    2. Newbery, David M, 1990. "Pricing and Congestion: Economic Principles Relevant to Pricing Roads," Oxford Review of Economic Policy, Oxford University Press and Oxford Review of Economic Policy Limited, vol. 6(2), pages 22-38, Summer.
    3. Calfee, John & Winston, Clifford, 1998. "The value of automobile travel time: implications for congestion policy," Journal of Public Economics, Elsevier, vol. 69(1), pages 83-102, July.
    4. Fullerton, Don & West, Sarah E., 2002. "Can Taxes on Cars and on Gasoline Mimic an Unavailable Tax on Emissions?," Journal of Environmental Economics and Management, Elsevier, vol. 43(1), pages 135-157, January.
    5. De Meza, David & Gould, J R, 1987. "Free Access versus Private Property in a Resource: Income Distributions Compared," Journal of Political Economy, University of Chicago Press, vol. 95(6), pages 1317-1325, December.
    6. Maskin, Eric S, 1994. "The Invisible Hand and Externalities," American Economic Review, American Economic Association, vol. 84(2), pages 333-337, May.
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    Citations

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    Cited by:

    1. Coria, Jessica & Bonilla, Jorge & Grundström, Maria & Pleijel, Håkan, 2015. "Air pollution dynamics and the need for temporally differentiated road pricing," Transportation Research Part A: Policy and Practice, Elsevier, vol. 75(C), pages 178-195.
    2. André de Palma & Shaghayegh Vosough & Robin Lindsey, 2020. "Pricing vehicle emissions and congestion using a dynamic traffic network simulator," THEMA Working Papers 2020-09, THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise.
    3. Zhong, Shaopeng & Bushell, Max, 2017. "Impact of the built environment on the vehicle emission effects of road pricing policies: A simulation case study," Transportation Research Part A: Policy and Practice, Elsevier, vol. 103(C), pages 235-249.
    4. Fu, Shihe & Gu, Yizhen, 2017. "Highway toll and air pollution: Evidence from Chinese cities," Journal of Environmental Economics and Management, Elsevier, vol. 83(C), pages 32-49.
    5. Vosough, Shaghayegh & de Palma, André & Lindsey, Robin, 2022. "Pricing vehicle emissions and congestion externalities using a dynamic traffic network simulator," Transportation Research Part A: Policy and Practice, Elsevier, vol. 161(C), pages 1-24.
    6. Coria, Jessica & Zhang, Xiao-Bing, 2017. "Optimal environmental road pricing and daily commuting patterns," Transportation Research Part B: Methodological, Elsevier, vol. 105(C), pages 297-314.
    7. Beaudoin, Justin & Farzin, Y. Hossein & Lin Lawell, C.-Y. Cynthia, 2015. "Public transit investment and sustainable transportation: A review of studies of transit's impact on traffic congestion and air quality," Research in Transportation Economics, Elsevier, vol. 52(C), pages 15-22.
    8. Xin Lin & Chris M. J. Tampère & Stef Proost, 2020. "Optimizing Traffic System Performance with Environmental Constraints: Tolls and/or Additional Delays," Networks and Spatial Economics, Springer, vol. 20(1), pages 137-177, March.
    9. Hongyou Lu & Yunchan Zhu & Yu Qi & Jinliang Yu, 2018. "Do Urban Subway Openings Reduce PM 2.5 Concentrations? Evidence from China," Sustainability, MDPI, vol. 10(11), pages 1-24, November.
    10. Chu, Chih-Peng & Tsai, Jyh-Fa, 2008. "The optimal location and road pricing for an elevated road in a corridor," Transportation Research Part A: Policy and Practice, Elsevier, vol. 42(5), pages 842-856, June.

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    More about this item

    JEL classification:

    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy
    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise
    • R48 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Government Pricing and Policy

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