Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/85572
Year of Publication: 
2000
Series/Report no.: 
Tinbergen Institute Discussion Paper No. 00-084/3
Publisher: 
Tinbergen Institute, Amsterdam and Rotterdam
Abstract: 
This paper considers the second-best problem where not all links of a congested transportation networkcan be tolled. The paper builds on earlier work, in which the second-best tax rule for this problem wasderived for general static networks, so that the solution presented is valid for any graph of the network,and for any set of tolling points available on that network. An algorithm is presented for finding second-best tolls, based on this general solution. A simulation model is used for studying its performance forvarious archetype pricing schemes: a toll-cordon, area licences, parking policies in the city centre, pricingof a single major highway, and pay-lanes and 'free-lanes' on major highways. Furthermore, an exploratoryanalysis is given of a method for selecting the optimal location of toll points in case not all links can betolled.
Document Type: 
Working Paper

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