Scandinavian Working Papers in Economics

HUI Working Papers,
HUI Research

No 23: Congestion Charges in Stockholm: How Have They Affected Retail Revenues?

Sven-Olov Daunfeldt , Niklas Rudholm () and Ulf Rämme
Additional contact information
Sven-Olov Daunfeldt: The Ratio Institute, Postal: P.O. Box 3203, SE-103 64 Stockholm, Sweden
Niklas Rudholm: The Swedish Retail Institute (HUI) and Department of Economics, Dalarna University, Postal: The Swedish Retail Institute (HUI), Regeringsgatan 60, 103 29 Stockholm, Sweden, and, Department, of Economics, Dalarna University, SE-781 88 Borlänge, Sweden
Ulf Rämme: The Swedish Retail Institute (HUI), Postal: The Swedish Research Institute of Trade (HUI), Regeringsgatan 60, 103 29 Stockholm, Sweden

Abstract: Did the introduction of congestion charges in Stockholm city reduce retail revenues? Data from 20 shopping malls - 8 within the toll area, and 12 outside the tool area - and from a sample of retail stores located along the main shopping streets was analyzed using an intervention- control approach. Favorable outcomes, such as reduced traffic, less emissions of carbon-dioxide, and perceived improvements in air quality and accessibility, do not seem to have been offset by reduced revenues for retailers located within the toll area.

Keywords: Road toll; congestion fee; congestion charge; retail revenues; retail profits

JEL-codes: D12; H31; L81

17 pages, November 1, 2009

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