The Fundamental Law of Road Congestion: Evidence from US cities

Gilles Duranton and Matthew Turner

No 7462, CEPR Discussion Papers from Centre for Economic Policy Research

Abstract: We investigate the relationship between interstate highways and highway vehicle kilometers traveled (vkt) in US cities. We find that vkt increases proportionately to highways and identify three important sources for this extra vkt: an increase in driving by current residents; an increase in transportation intensive production activity; and an inflow of new residents. The provision of public transportation has no impact on vkt. We also estimate the aggregate city level demand for vkt and find it to be very elastic. We conclude that an increased provision of roads or public transit is unlikely to relieve congestion and that the current provision of roads exceeds the optimum given the absence of congestion pricing.

Keywords: Congestion; Highways; Public transport; Vehicle-kilometers traveled (search for similar items in EconPapers)
JEL-codes: L91 R41 (search for similar items in EconPapers)
Date: 2009-09
New Economics Papers: this item is included in nep-geo and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (23)

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Related works:
Journal Article: The Fundamental Law of Road Congestion: Evidence from US Cities (2011)
Working Paper: The Fundamental Law of Road Congestion: Evidence from US Cities (2009)
Working Paper: The Fundamental Law of Road Congestion: Evidence from US cities (2009)
Working Paper: The Fundamental Law of Road Congestion: Evidence from US cities (2009)
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