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on Transport Economics |
| By: | Andersson, Henrik; Ögren, Mikael |
| Abstract: | By combining standardized calculation methods for total noise levels and monetary estimates from well established evaluation methods, this study outlines a model to estimate the short run marginal cost (SRMC) for road and railway noise that is able to differentiate not only modes of transport, but also vehicles and technologies. Several sensitivity tests run for the SRMC show that estimates are: (i) insensitive to the traffic volume, (ii) sensitive to the number of exposed individuals, and (iii) sensitive to the monetary values used. Results also show that the use of quiet technology can have a significant effect on the SRMC. |
| Date: | 2012–08 |
| URL: | http://d.repec.org/n?u=RePEc:tse:wpaper:26570&r=tre |
| By: | Sonia Stube Martins; Matthias Finger; Andreas Haller; Urs Trinkner |
| Abstract: | Rail passenger transport services with integrated regular interval timetables (IRIT) offer passengers a regular interval timetable for services on the railway network. IRIT have the potential to increase the quality and attractiveness of railway passenger services in comparison to other transport modes. This paper summarizes the advantages and challenges of an implementation of IRIT for railway passenger services, presents a quantitative model which simulates passenger utility in an IRIT railway system compared to other forms of timetables, and derives the main requirements for the successful introduction of IRIT. The comparison of the regulatory framework, the role of IRIT and the development of passenger railway services in CH, the NL and the UK, shows that in those countries where either IRIT has been introduced (CH) or the high frequency of trains between cities provides for a system comparable to IRIT (NL), railway services play a more important role in the modal split. The successful introduction of IRIT requires a long-run implementation schedule which identifies the necessary investment in the railway infrastructure and points out the financial resources available to make those investments. Further, IRIT requires a high level of punctuality of railway passenger services, the coordination between railway companies when designing the timetable and a priority rule for passenger railway services within IRIT when there are capacity restrictions on the railway network. |
| Keywords: | IRIT, integrated timetables, rail passenger transport services |
| JEL: | L92 L59 R41 R42 |
| Date: | 2012–11 |
| URL: | http://d.repec.org/n?u=RePEc:chc:wpaper:0037&r=tre |
| By: | Adriaan Hendrik van der Weijde (VU University Amsterdam); Erik T. Verhoef (VU University Amsterdam); Vincent A. C. van den Berg (VU University Amsterdam) |
| Abstract: | We formulate a horizontal differentiation model with price-sensitive demand and asymmetric transport costs, in the context of transport scheduling. Two competitors choose fares and departure times in a fixed time interval. Consumers are distributed uniformly along the interval; their location indicates their desired departure time. In a standard Hotelling model, locations are chosen before prices. In our context, the opposite order is also conceivable, but we show that it does not result in a Nash equilibrium; the same is true for a game in both variables are chosen simultaneously. We also discuss Stackelberg game structures and second-best regulation. We conclude that the addition of price-sensitive demand results in equilibria in the traditional Hotelling model with price setting; there, services are scheduled closer together than optimal. We also show that it is possible to include asymmetric schedule delay functions. Our results show that departure times can be strategic instruments. Optimal regulatory strategies depend on the value of schedule delay, and on whether the regulator can commit. |
| Keywords: | horizontal differentiation; scheduling; transport |
| JEL: | L11 L51 L91 R40 |
| Date: | 2012–11–08 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:uvatin:20120119&r=tre |
| By: | Nilsson, Jan-Eric (VTI) |
| Abstract: | This is a draft text for a chapter in Handbook on Research Methods in Transport Economics and Policy to be published by Edward Elgar Publishing. It provides an overview of issues related to scarcity in scheduled transport modes with emphasis on railways. The paper separates the scarcity or time-tabling problem into two analytical parts. The first concerns the challenges related with finding an approximate solution to the mathematically challenging NP complete problem. The second generic problem is related to base the solution to this challenge on the operators’ value of each departure slot. |
| Keywords: | Time-tabling; Track scarcity; Runway scarcity; Willingness to pay |
| JEL: | D61 D82 R42 |
| Date: | 2012–11–22 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:ctswps:2012_025&r=tre |
| By: | Chinowsky, Paul S.; Schweikert, Amy E.; Strzepek, Niko L.; Strzepek, Kenneth |
| Abstract: | Climate change is a potential threat to Vietnam.s development as current and future infrastructure will be vulnerable to climate change impacts. This paper focuses on the physical asset of road infrastructure in Vietnam by evaluating the potential impact |
| Keywords: | climate change, road infrastructure, stressor response functions, Vietnam |
| Date: | 2012 |
| URL: | http://d.repec.org/n?u=RePEc:unu:wpaper:wp2012-80&r=tre |
| By: | Bruno de Borger (University of Antwerp); Jan Rouwendal (VU University Amsterdam) |
| Abstract: | We study the impact of fuel taxes and kilometer taxes on households' choices of vehicle quality, on their demand for kilometers driven, and on fuel consumption. Moreover, embedding this information in a model of the car market, we analyze the implications of these taxes for the opportunity costs of owning cars of different quality. Higher quality raises the fixed cost of car ownership, but it may raise (engine size, acceleration speed, etc.) or reduce (fuel technology, etc.) the variable user cost. Our results show that kilometer charges and fuel taxes have very different implications. For example, a higher fuel tax raises household demand for more fuel efficient cars, provided that the demand for car use is inelastic; it reduces the demand for characteristics that raise variable user costs. Surprisingly, however, a kilometer tax unambiguously reduces the demand for more fuel efficient cars. Incorporating price adjustments at the market level, we find th at fuel taxes raise the <I>marginal</I> fixed opportunity cost of better fuel efficiency at all quality levels. <I>Total</I> annual opportunity costs of owning highly fuel efficient cars increase, while they decline for cars of low fuel efficiency. We further find that both a fuel tax and a kilometer charge reduce the <I>total</I> annual fixed ownership cost for car attributes that raise the variable cost of driving (engine power, acceleration speed, etc.). There is thus in general a trade-off between fixed and variable car costs: if the latter increase - due to higher fuel prices or a kilometer charge - total demand for cars decreases and a return to equilibrium is only possible by a decrease in fixed costs. All theoretical results are illustrated using a numerical version of the model. The analysis shows that modeling the effect of tax changes on household behavior alone can produce highly misleading results. |
| Keywords: | car market; car quality; fuel tax; kilometer charge; market equilibrium |
| JEL: | H22 L62 |
| Date: | 2012–11–16 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:uvatin:20120122&r=tre |
| By: | Brown, W. Mark<br /> Anderson, William P. |
| Abstract: | Despite the elimination of tariff barriers between Canada and the United States, the volume of trade between the two countries has been less than would be expected if there were no impediments. While considerable work has been done to gauge the degree of integration between the Canadian and U.S. economies through trade, relatively little analysis has parsed out the underlying costs for cross-border trade. The costs of crossing the border can be divided into formal tariff barriers, non-tariff barriers, and the cost of the transport system itself. This paper focuses on the latter by estimating the cost of shipping goods by truck between Canada and the U.S. during the 2004-to-2009 period. The analysis assesses the degree to which costs to ship goods by truck to and from the U.S. exceed those within Canada by measuring the additional costs on a level and an ad valorem basis. The latter provides an estimate of the tariff equivalent transportation cost that applies to cross-border trade. These costs are further broken down into fixed and variable (line-haul) costs. Higher fixed costs are consistent with border delays and border compliance costs which are passed on to the consumers of trucking services. Higher line-haul costs may result from difficulties obtaining backhauls for a portion of the trip home. Such difficulties may stem from trade imbalances and regulations that restrict the ability of Canadian-based carriers to transport goods between two points in the United States. |
| Keywords: | International trade, Transportation, Transportation by road |
| Date: | 2012–11–19 |
| URL: | http://d.repec.org/n?u=RePEc:stc:stcp5e:2012081e&r=tre |
| By: | Klein, Michael |
| Abstract: | The paper lays out basic design options for infrastructure policy. It first sketches mechanisms to asses demand. Then it sets out a hierarchy of issues starting with choice of market structure followed by conduct regulation. Ownership options are largely a function of market structure choices. The implications for finance -- the topic of much day-to-day discussion in infrastructure policy-making -- follow from these various prior choices. The discussion naturally circumscribes the role for so-called public-private partnerships -- their uses and pitfalls. Annexes provide checklists for choices of market structure and for diagnosing and benchmarking policies. |
| Keywords: | Markets and Market Access,Economic Theory&Research,Emerging Markets,Infrastructure Economics,Debt Markets |
| Date: | 2012–11–01 |
| URL: | http://d.repec.org/n?u=RePEc:wbk:wbrwps:6274&r=tre |
| By: | Hüschelrath, Kai; Müller, Kathrin |
| Abstract: | The paper estimates the effects of entry by low-cost carrier JetBlue Airways in long-haul domestic U.S. airline markets. For the period from 2000 to 2009, we find that non-stop fares were on average about 21 percent lower post-entry; however, the magnitude of the price effect depends on the pre-entry market structure. While entry into monopoly markets triggered an average price decrease of about 25 percent, the respective average price drop for entries into oligopoly markets lied at about 15 percent. Based on additional estimates of the price and income elasticities for long-haul domestic U.S. flights, we conclude that JetBlue's long-haul entries alone led to an increase in consumer welfare of about USD 661 million. -- |
| Keywords: | airline industry,entry,low-cost carrier,consumer welfare effects |
| JEL: | L40 L93 |
| Date: | 2012 |
| URL: | http://d.repec.org/n?u=RePEc:zbw:zewdip:12072&r=tre |
| By: | Swärdh , Jan-Erik (VTI); Andersson, Henrik (Toulouse School of Economics (LERNA)); Jonsson, Lina (VTI); Ögren , Mikael (VTI) |
| Abstract: | In this study we estimate the demand for peace and quiet, and thus also the willingness to pay for railway noise abatement, based on both steps of the hedonic model regression on property prices. The estimated demand relationship suggests welfare gains for a 1 dB reduction of railway noise as; USD 162 per individual per year at the baseline noise level of 71 dB, and USD 86 at the baseline noise level of 61 dB. Below a noise level of 49.1 dB, individuals have no willingness to pay for railway noise abatement. Our results also show the risk of using benefit transfer, i.e. we show empirically that the estimated implicit price for peace and quiet differs substantially across the housing markets. From a policy perspective our results are useful, not only for benefit-cost analysis, but also as the monetary component on infrastructure use charges that internalize the noise externality. |
| Keywords: | Benefits transfer; Hedonic regression; Railway noise; Willingness to pay |
| JEL: | C21 C26 Q51 Q53 |
| Date: | 2012–11–22 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:ctswps:2012_027&r=tre |
| By: | Andersson, Henrik; Jonsson, Lina; Ögren, Mikael; Swärdh, Jan-Erik |
| Abstract: | In this study we estimate the demand for peace and quiet, and thus also the willingness to pay for railway noise abatement, based on both steps of the hedonic model regression on property prices. The estimated demand relationship suggests welfare gains for a 1 dB reduction of railway noise as; USD 162 per individual per year at the baseline noise level of 71 dB, and USD 86 at the baseline noise level of 61 dB. Below a noise level of 49.1 dB, individuals have no willingness to pay for railway noise abatement. Our results also show the risk of using benefit transfer, i.e. we show empirically that the estimated implicit price for peace and quiet differs substantially across the housing markets. From a policy perspective our results are useful, not only for benefit-cost analysis, but also as the monetary component on infrastructure use charges that internalize the noise externality. |
| Keywords: | Benefits transfer; Hedonic regression; Railway noise; Willingness to pay |
| JEL: | C21 Q Q51 |
| Date: | 2012–11 |
| URL: | http://d.repec.org/n?u=RePEc:tse:wpaper:26573&r=tre |
| By: | Claudio A Agostini (Escuela de Gobierno, Universidad Adolfo Ibáñez) |
| Date: | 2012–06 |
| URL: | http://d.repec.org/n?u=RePEc:uai:wpaper:wp_022&r=tre |
| By: | Andersson, Henrik |
| Abstract: | This study analyzes stated willingness to pay (WTP) for trafic safety, the use of trafic safety equipments, and the consistency between the two. Using data from a Swedish contingent valuation study we find that the estimated value of a statistical life (VSL) based on the respondents' rear- seatbelt usage is similar to the estimate found using the respondents' stated WTP. However, when estimating VSL based on the respondents' use of bicycle helmets we find a significantly higher VSL; the VSL from bicycle-helmet usage is 7 times higher than the estimate based on seatbelt usage. Moreover, we do not find any strong relationship between risk perception and usage, or individual stated WTP and usage. Hence, the main conclusion, based on our analysis, is that stated and observed WTP are not consistent. |
| Keywords: | Revealed preferences; Road safety; Stated preferences; Value of a statistical life; Willingness to pay |
| Date: | 2012–11 |
| URL: | http://d.repec.org/n?u=RePEc:tse:wpaper:26572&r=tre |
| By: | Addison, Tony; Anand, P. B. |
| Abstract: | The central argument of this study is that given the magnitude of the investment in infrastructure that is required, especially in Africa, the role of foreign aid in the future should be distinctly different. While aid will be required to continue to fill |
| Keywords: | aid, infrastructure, Africa, finance, funds, private sector |
| Date: | 2012 |
| URL: | http://d.repec.org/n?u=RePEc:unu:wpaper:wp2012-56&r=tre |
| By: | Rohlfs, Chris (Syracuse University); Sullivan, Ryan (Naval Postgraduate School); Kniesner, Thomas J. (Syracuse University) |
| Abstract: | Due to Federal regulations, automobile air bag availability was a model-specific discontinuous function of model year for used vehicles in the 1990s and early 2000s. We use these discontinuities and the gradual increase in the supply of air bags to trace out the demand curve for air bags and the implied distribution of the Value of a Statistical Life (VSL) across consumers. While imprecise, our preferred point estimates indicate that the median VSL is between $7 million and $13 million, but that a sizable portion of consumers placed negative values on air bags, probably due to distrust of the technology. |
| Keywords: | value of statistical life, VSL, airbags, regression discontinuity design, quasi-experiment |
| JEL: | J17 R41 I18 K32 L62 D12 D61 H40 |
| Date: | 2012–11 |
| URL: | http://d.repec.org/n?u=RePEc:iza:izadps:dp6994&r=tre |