Air Pollution Dynamics and the Need for Temporally Differentiated Road Pricing

Jessica Coria, Jorge Bonilla Londoño, Maria Grundström () and Håkan Pleijel ()
Additional contact information
Maria Grundström: Dept of Biological and Environmental Sciences, Postal: University of Gothenburg, Sweden
Håkan Pleijel: Dept of Biological and Environmental Sciences, Postal: University of Gothenburg, Sweden

No 572, Working Papers in Economics from University of Gothenburg, Department of Economics

Abstract: In this paper we investigate the effects of the temporal variation of pollution dispersion, traffic flows and vehicular emissions on pollution concentration and illustrate the need for temporally differentiated road pricing through an application to the case of the congestion charge in Stockholm, Sweden. By accounting explicitly for the role of pollution dispersion on optimal road pricing, we allow for a more comprehensive view of the economy-ecology interactions at stake, showing that price differentiation is an optimal response to the physical environment. Most congestion charges in place incorporate price bans to mitigate congestion. Our analysis indicates that, to ensure compliance with air quality standards, such price variations should also be a response to limited pollution dispersion.

Keywords: air pollution; road transportation; road pricing; assimilative capacity (search for similar items in EconPapers)
JEL-codes: L91 Q53 R48 (search for similar items in EconPapers)
Pages: 26 pages
Date: 2013-10-09
New Economics Papers: this item is included in nep-ene, nep-env, nep-reg, nep-res, nep-tre and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (5)

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http://hdl.handle.net/2077/34150 (text/html)

Related works:
Journal Article: Air pollution dynamics and the need for temporally differentiated road pricing (2015)
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