Effects of Gateway Congestion Pricing on Optimal Road Pricing and Hinterland

Andrew Yuen, Leonardo J. Basso and Anming Zhang

Journal of Transport Economics and Policy, 2008, vol. 42, issue 3, 495-526

Abstract: This paper investigates the effects of congestion pricing implemented at a gateway (port or airport) on its hinterland's optimal road pricing, road congestion and social welfare. We find that if the gateway maximises the joint profit of itself and its oligopoly carriers, its charge will rise, with part of this increase owing to congestion pricing. This increase in the gateway charge will lead to lower road tolls, independent of whether the road price discriminates between local and transit traffic (from or to the gateway). However, while the change in road congestion is in general ambiguous, the hinterland's welfare will fall as a result of the increase in the gateway charge. © 2008 LSE and the University of Bath

Date: 2008
References: Add references at CitEc
Citations: View citations in EconPapers (15)

Downloads: (external link)
http://www.catchword.com/cgi-bin/cgi?ini=bc&body=l ... 0080901)42:3L.495;1- (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:tpe:jtecpo:v:42:y:2008:i:3:p:495-526

Access Statistics for this article

Journal of Transport Economics and Policy is currently edited by B T Bayliss, S A Morrison, A Smith and D Graham

More articles in Journal of Transport Economics and Policy from University of Bath
Bibliographic data for series maintained by Christopher F. Baum ().