Scandinavian Working Papers in Economics
Working Papers,
Örebro University, School of Business
No 2005:8: THE POLITICO-ECONOMIC LINK BETWEEN PUBLIC TRANSPORT AND ROAD PRICING: AN EX-ANTE STUDY OF THE STOCKHOLM ROAD-PRICING TRIAL
Lars Hutlkrantz () and Hanna Armelius ()
Additional contact information
Lars Hutlkrantz: Department of Business, Economics, Statistics and Informatics, Postal: Örebro University, Department of Business, Economics, Statistics and Informatics, SE - 701 82 ÖREBRO, Sweden
Hanna Armelius: Uppsala universitet
Abstract: A full-scale road pricing seven months trial will be performed in Stockholm in 2006. The road tolls are bundled with major improvements of public transport. The trial will be followed by a local referendum.
We conduct numerical simulations with a model of modal choice to estimate the welfare effects of road tolls on commuters crossing the toll zone. We find that in the absence of revenue recycling, few commuters gain from the road-toll reform. However, the fraction who gain rises considerably when public transport is improved as planned in Stockholm.
Keywords: Congestion charges; road tolls; distributional effects; modal choice
43 pages, August 12, 2005
Price: 120
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