Explanations
Congestion Externalities - Is Road Pricing the Way Forward?

31st January 2022
Could road pricing could be the answer to both environmental concerns and serve as a way of replacing fuel duty and road tax?
The technology's there - and it would allow road users to be charged according to the distance they drove and nuanced to reflect different levels of congestion to some degree.
However, any assessment of policy needs to be aware of the opportunity cost, likelihood of government failure and distributional effects of such a change.
Likely arguments against the change are going to relate to rural drivers - who have to drive longer distances - and poorer urban drivers who live in outlying, less expensive suburbs and have to drive more than wealthier people who live in more handily placed areas.
@GwynTopham writes in this Guardian piece that "Singapore has arguably come closest to a comprehensive road-pricing scheme"
Will road pricing answer the UK’s net-zero car-tax conundrum? https://t.co/lO4BaCvF5Z
— The Guardian (@guardian) January 28, 2022
Great article on road pricing #marketfailure Will road pricing answer the UK’s net-zero car-tax conundrum? https://t.co/8nurg5uLQM
— Mike McCartney (@EconomicsSTAC) January 28, 2022
You might also like

Regulated rail fares to rise 6% - potentially pricing many off services
28th December 2022

UK bus price cap scheme is extended
19th December 2022

Environmental Economics - CO Emissions by Transport Mode
27th November 2022

Bus fares in England to be capped at £2 per journey for 3 months
3rd September 2022

German government offers a cheap travel pass to citizens
15th July 2022

Spain uses a windfall tax to make some train journeys free
15th July 2022
Industry Profile: Airlines and Airports
Topic Videos