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The Economics of Congestion: A Geometric Review

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  • Richard C. Porter

    (University of Michigan)

Abstract

The purpose of this review is to consolidate the analytical basis and reduce the technical complexity of the growing literature on congestion. Money and time costs are kept distinct, and the basic positive and normative implications of congestion are derived geometrically. On the assumptions that the “size†of the facility is fixed and that an uncongested alternative exists, the implications are derived for one and two classes of identical users entering under various means: with free access, efficiently, with private ownership, and through clubs.

Suggested Citation

  • Richard C. Porter, 1978. "The Economics of Congestion: A Geometric Review," Public Finance Review, , vol. 6(1), pages 23-52, January.
    • Handle: RePEc:sae:pubfin:v:6:y:1978:i:1:p:23-52
    DOI: 10.1177/109114217800600102
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    References listed on IDEAS

    as
    1. Porter, Richard C, 1977. "On the Optimal Size of Underpriced Facilities," American Economic Review, American Economic Association, vol. 67(4), pages 753-760, September.
    2. Barzel, Yoram, 1974. "A Theory of Rationing by Waiting," Journal of Law and Economics, University of Chicago Press, vol. 17(1), pages 73-95, April.
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    4. McGuire, Martin, 1974. "Group Segregation and Optimal Jurisdictions," Journal of Political Economy, University of Chicago Press, vol. 82(1), pages 112-132, Jan.-Feb..
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    11. repec:bla:econom:v:41:y:1974:i:164:p:446-50 is not listed on IDEAS
    12. Weitzman, Martin L., 1974. "Free access vs private ownership as alternative systems for managing common property," Journal of Economic Theory, Elsevier, vol. 8(2), pages 225-234, June.
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    Cited by:

    1. Sandler, Todd & Tschirhart, John T, 1980. "The Economic Theory of Clubs: An Evaluative Survey," Journal of Economic Literature, American Economic Association, vol. 18(4), pages 1481-1521, December.

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