First-Best Congestion Pricing

Moez Kilani

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Abstract: In this chapter, the first-best congestion pricing under static and dynamic frameworks is reviewed and we describe how it acts as an efficient tool to improve the allocation of transportation infrastructure. The generic idea underlying this pricing policy is that each driver should be charged the external cost he generates.

Date: 2021-05-12
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Published in Roger Vickerman. International Encyclopedia of Transportation, Elsevier, pp.209-215, 2021, 978-0-08-102671-7. ⟨10.1016/B978-0-08-102671-7.10037-5⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:hal-03710269

DOI: 10.1016/B978-0-08-102671-7.10037-5

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