nep-tre New Economics Papers
on Transport Economics
Issue of 2018‒10‒08
nineteen papers chosen by
Erik Teodoor Verhoef
Vrije Universiteit Amsterdam

  1. How do travellers respond to health and environmental policies to reduce air pollution? By Caroline Orset
  2. Infrastructure for Commercial Vehicle Safety By Christopher M. Poe
  3. Is gasoline price elasticity in the United States increasing? Evidence from the 2009 and 2017 national household travel surveys By Goetzke, Frank; Vance, Colin
  4. Public Private Partnerships Vs. Traditional Roads Project Delivery Time, Costs and Quality By Ram Singh
  5. Optimum Stop Spacing for Accessibility. By Hao Wu; David Levinson
  6. On-Board Safety Systems: Enablement of Management and Logistics By John Woodrooffe
  7. I only get some satisfaction: Introducing satisfaction into measures of accessibility. By Nick Chaloux; Genevieve Boisjoly; Emily Grise; Ahmed El-Geneidy,; David Levinson
  8. Managing transportation externalities in the Pyrenees region: Measuring the willingness-to-pay for road freight noise reduction using an experimental auction mechanism By Laurent Denant-Boèmont; Javier Faulin; Sabrina Hammiche; Adrian Serrano-Hernandez
  9. Accessibility, Equity, and the Journey-to-Work By Boer Cui; Genevieve Boisjoly; Ahmed El-Geneidy,; David Levinson
  10. Experimental spatial modelling of commercial property stock using GIS By Paul Greenhalgh; Kevin Muldoon-Smith; Adejimi Adebayo; Josephine Ellis
  11. Winners and Losers: The Distributional Effects of the French Feebate on the Automobile Market By Durrmeyer, Isis
  12. Challenges in Better Co-ordinating Tokyo’s Urban Rail Services By Hironori Kato
  13. The Economics of Enhancing Accessibility: Estimating the Benefits and Costs of Participation By Bridget R.D. Burdett; Stuart M. Locke; Frank Scrimgeour
  14. Disparity of Access: Variations in Transit Service by Race, Ethnicity, Income, and Auto Availability By Elisa Borowski; Alireza Ermagun; David Levinson
  15. Build it and they will come? Secondary railways and population density in French Algeria By Laura Maravall Buckwalter
  16. Different business models - different users? Uncovering the motives and characteristics of B2C and P2P carsharing adopters By Karla Münzel; Laura Piscicelli; Wouter Boon; Koen Frenken
  17. Measuring polycentricity via network flows, spatial interaction, and percolation By Somwrita Sarkar; Hao Wu; David Levinson
  18. An Examination of the Link between Urban Planning Policies and the High Cost of Housing and Labor By Anthony Yezer; William Larson; Weihua Zhao
  19. Link-based Internal and Full Cost Analysis. By Mengying Cui; David Levinson

  1. By: Caroline Orset (Université Paris-Saclay, AgroParisTech, ECO-PUB - Economie Publique - INRA - Institut National de la Recherche Agronomique - AgroParisTech)
    Abstract: Despite the various measures taken to reduce air pollution in France, the French continue to use high-emission vehicles. We propose to evaluate the willingness to pay (WTP) for four means of transport: two high-emission vehicles (diesel taxi and diesel personal vehicle) and two low-emission vehicles (rented electric vehicle and public transport). Successive messages revealing the effects of air pollution on health and the environment are provided to individuals in a different order. The information conveyed changes both of the WTP of individuals and of their choices. However, the use of high-emission vehicles has not diminished , personal vehicles remain the most popular. Using data collected from our survey, a multinomial logit model is used to determine individual choices. We find that improving individuals' confidence in air pollution recommendations would be a good way to lead them to choose low-emission rather than high-emission means of transport. Moreover, these estimates also indicate that individuals who attach great importance to comfort are less likely to choose low-emission vehicles than those who value price above other factors. Individual interest can therefore prevail over collective interest, thus verifying the theory of the tragedy of the commons. Different policies (taxes, subsidies, or standard) to encourage people to adopt low-emission vehicles are then tested.
    Keywords: Air Pollution,Information Campaign,Means of Transport,Tax-Subsidy-Standard,Travellers' Willingness to Pay
    Date: 2018
    URL: http://d.repec.org/n?u=RePEc:hal:journl:hal-01866811&r=tre
  2. By: Christopher M. Poe (Texas A&M University)
    Abstract: While there is increasing information on commercial motor vehicle (CMV) safety systems, truck automation, and truck platooning, there is less information on how roadway and infrastructure technology can improve truck safety, mobility, and efficiency using these technologies. Intelligent Transportation System (ITS), connected vehicle, and vehicle automation technologies are examined to identify safety and mobility applications that can leverage greater integration with infrastructure. Greater connectivity between commercial vehicles and the infrastructure has the potential to reduce crashes, increase productivity, and reduce fuel consumption and emissions. Connectivity holds an immediate opportunity to expand traditional ITS solutions for safety and mobility by creating more effective applications that integrate infrastructure data directly with CMVs. This paper serves to facilitate the discussion on how the infrastructure can play a role in the technological advancements being made in the freight and CMV industry.
    Date: 2017–08–03
    URL: http://d.repec.org/n?u=RePEc:oec:itfaab:2017/13-en&r=tre
  3. By: Goetzke, Frank; Vance, Colin
    Abstract: Drawing on the 2009 and 2017 waves of the National Household Transportation Survey, this paper models the determinants of vehicle miles traveled, with the aim of parameterizing the magnitude of the fuel price elasticity. To capture changes in this magnitude over the two years of the survey, our specification interacts the logged fuel price with a dummy indicating the 2017 survey year. We find a small but statistically significant mean elasticity of about -0.05 for the year 2009, which increases over fourfold to -0.23 by the year 2017. We explore the robustness of this result to different model specifications and estimation techniques, including instrumental variable estimation to account for the possible endogeneity of fuel prices, as well as quantile regression to account for heterogeneity according to driving intensity. A similar pattern of substantially increasing elasticity emerges across all these models. We speculate that one possible source of this pattern is economic duress from the 2008 financial crisis, which the data suggests reoriented mode choice patterns.
    Keywords: fuel price elasticity,household VMT,heterogeneity
    JEL: D12 Q41 R48
    Date: 2018
    URL: http://d.repec.org/n?u=RePEc:zbw:rwirep:765&r=tre
  4. By: Ram Singh (Department of Economics, Delhi School of Economics)
    Abstract: The Public Private Partnerships (PPPs) have become a mainstay of plans of the Centre and the State governments towards infrastructure development. In this article, we discuss the various considerations behind the rampant use of PPPs for infrastructure services. Next, we empirically examine a widely held belief that PPPs are better than the traditional approach towards infrastructure in that they can deliver superior quality infrastructure at a faster rate and lower costs. Using a dataset of 313 national highways projects, we compare the performance of the PPP and the traditional government (non-PPP) road projects. We show that the project delays are relatively short for PPPs, but the cost overruns are significantly higher for PPP roads than for the government managed road projects. The available evidence suggests that the quality of PPP roads is superior to the government roads. However, the overall quality of road services under PPPs is deficient on several counts.
    Date: 2018–09
    URL: http://d.repec.org/n?u=RePEc:cde:cdewps:290&r=tre
  5. By: Hao Wu; David Levinson (TransportLab, School of Civil Engineering, University of Sydney)
    Abstract: This paper describes the connection between stop spacing and person-weighted accessibility for a transit route. Population distribution is assumed to be uniform along the line, but at each station, demand drops with distance from the station. The study reveals that neither short nor excessive stop spacings are efficient in providing accessibility. For the configuration of each transit route, an optimum stop spacing exists that maximizes accessibility. Parameters including transit vehicle acceleration, deceleration, top speed, dwell time, and pedestrian walking speed affect level of accessibility achiev- able, and differ in their effect on accessibility results. The findings provide an anchor of reference both for the planning of future transit systems, and for transit operators to make operational changes to system design parameters that improve accessibility in a cost-effective manner. The study technically justifies the "rule of thumb" in setting different stop spacings for metro, streetcars, and other different transit services. Different types of transit vary in their ability to provide accessibility, slower moving streetcar (tram) type urban rails are inherently disadvantaged in that respect. Thus the type of transit service to be built should be of particular concern, if the transit is to effectively serve its intended population.
    Keywords: accessibility, public transport, station location
    JEL: R42 C61
    Date: 2018
    URL: http://d.repec.org/n?u=RePEc:nex:wpaper:optimalstopspacing&r=tre
  6. By: John Woodrooffe (Woodrooffe Dynamics LLC)
    Abstract: AV for heavy commercial vehicles offers immediate benefits in terms of automated features that assist drivers. Automated features that support or relieve the heavy vehicle driver in well-defined circumstances will play an important role in advancement of the freight industry. Some significant uncertainties need to be navigated before highly-automated vehicles (HAVs) play an important role for heavy vehicles.
    Date: 2017–08–03
    URL: http://d.repec.org/n?u=RePEc:oec:itfaab:2017/15-en&r=tre
  7. By: Nick Chaloux; Genevieve Boisjoly; Emily Grise; Ahmed El-Geneidy,; David Levinson (TransportLab, School of Civil Engineering, University of Sydney)
    Abstract: Improving accessibility is a goal pursued by many metropolitan regions to address a variety of objectives. Accessibility, or the ease of reaching destinations, is traditionally measured using observed travel time and has of yet not accounted for user satisfaction with these travel times. As trip satisfaction is a major component of the underlying psychology of travel, we introduce satisfaction into accessibility measures and demonstrate its viability for future use. To do so, we generate a new satisfaction-based measure of accessibility where the impedance functions are determined from the travel time data of satisfying trips gathered from the 2017/2018 McGill Transport Survey. This satisfaction-based measure is used to calculate accessibility to jobs by four modes (public transport, car, walking, and cycling) in the Montreal metropolitan region, with the results then compared to a standard gravity-based measure of accessibility. We then offer a dissatisfaction index where we combine the ratio between satisfaction-based and gravity-based accessibility measures with mode share data. This index highlights areas with potentially high proportions of dissatisfied commuters and where interventions for each mode could have the highest impacts on the quality of life of a given mode commuter. Such analysis is then combined with a vulnerability index to show the value of this measure in setting priorities for vulnerable groups. The study demonstrates the importance of including satisfaction in accessibility measures and allows for a more nuanced interpretation of the ease of access by researchers, planners, and policy-makers.
    Keywords: Gravity-based accessibility, Commuting, Trip Satisfaction, Equity, Vulnerable
    JEL: R40 D91 J28
    Date: 2018
    URL: http://d.repec.org/n?u=RePEc:nex:wpaper:somesatisfaction&r=tre
  8. By: Laurent Denant-Boèmont (CREM - Centre de recherche en économie et management - UNICAEN - Université de Caen Normandie - NU - Normandie Université - UR1 - Université de Rennes 1 - UNIV-RENNES - Université de Rennes - CNRS - Centre National de la Recherche Scientifique); Javier Faulin (UPNA - Universidad Pública de Navarra [Espagne]); Sabrina Hammiche (CREM - Centre de recherche en économie et management - UNICAEN - Université de Caen Normandie - NU - Normandie Université - UR1 - Université de Rennes 1 - UNIV-RENNES - Université de Rennes - CNRS - Centre National de la Recherche Scientifique); Adrian Serrano-Hernandez (UPNA - Universidad Pública de Navarra [Espagne])
    Abstract: The estimation of the noise impact caused by road freight transportation is critical to have acknowledgment of the ambiance pollution caused by road traffic crossing geographical areas containing important natural resources. Thus, our work proposes a within-subject survey where a Contingent Valuation Method (CVM) is combined with a laboratory economic experimental auction. Our study objective is to measure the willingness-to-pay (WTP) for reducing traffic noise nuisances due to freight transportation in the region of Navarre, Spain. A special focus is made regarding the measurement of the hypothetical bias, when a comparison is done between hypothetical WTP, coming from the CVM study, with real-incentivized one, as the outcome of the economic experiment. Additionally, statistical analyses are conducted in order to find explanation factors for these outcomes. Results suggest a strong evidence for an upward hypothetical bias (from 50% to 160%) indicating the income, the educational level, the gender, and the age as the main factors which explain that bias.
    Keywords: Noise,Transportation externality,Willingness-to-pay,Laboratory economic experiment,Contingent valuation method
    Date: 2018
    URL: http://d.repec.org/n?u=RePEc:hal:journl:halshs-01866869&r=tre
  9. By: Boer Cui; Genevieve Boisjoly; Ahmed El-Geneidy,; David Levinson (TransportLab, School of Civil Engineering, University of Sydney)
    Abstract: Inequality in transport provision is an area of growing concern among transport professionals, as it results in low-income individuals travelling at lower speeds while covering smaller distances. Accessibility, the ease of reaching destinations, may hold the key in correcting these inequalities through providing a means to evaluate land use and transport interventions. This article examines the relationship between accessibility and commuting duration for low-income individuals, compared to the general population, in three major Canadian metropolitan regions, Toronto, Montreal, and Vancouver using multilevel mixed effects statistical models for car and public transport commuters separately. Accessibility measures are generated for jobs and workers both at the origin (home) and the destination (place of work) to account for the impact of competing labor and firms. Our models show that the impacts of accessibility on commuting duration are present and stronger for low-income individuals than for the general population, and the differences in impact are more visible for public transport commuters. The results suggest that low-income individuals have more to gain (in terms of reduced commute time) from increased accessibility to low-income jobs at the origin and to workers at the destination. Similarly, they also have more to lose from increased accessibility to low-income workers at the origin and to low- income jobs at the destination, which are proxies for increased competition. Policies targeting improvements in accessibility to jobs, especially low-income ones, by car and public transport while managing the presence of competition can serve to bridge the inequality gap that exists in commuting behavior.
    Keywords: accessibility, journey-to-work, equity
    JEL: R40 R20 D63
    Date: 2018
    URL: http://d.repec.org/n?u=RePEc:nex:wpaper:accessequityjourneytowork&r=tre
  10. By: Paul Greenhalgh; Kevin Muldoon-Smith; Adejimi Adebayo; Josephine Ellis
    Abstract: This novel research project draws upon the experience of a small number of experimental research projects in seeking to extend some of the frontiers to the spatial modelling of commercial real estate markets. In so doing, it explores new ways of capturing, integrating, representing, illustrating and modelling commercial real estate data with other spatial variables.There is tacit understanding of the relationship between the distribution of commercial properties, and spatial factors such as proximity to footfall, transport and other infrastructure. However, there has been surprisingly little research that has been able to illustrate these tangled market relationships using spatial analyses, underpinned by empirical quantitative data. This research project has developed a methodology to visualise the distribution of rateable value, used as a proxy for the attractiveness of commercial property, across a pilot study area, in this case, the City of York, in North Yorkshire, England.The project has experimented with the use of grid squares to analyse geo-spatial relations of commercial real estate variables (such as, rental value, stock, vacancy, availability) with other spatial variables (such as, infrastructural facilities, transportation nodes). The project has confirmed that grid squares are more effective at representing data that are unevenly distributed across urban space at city level, than other artificial delineations, such as area postcodes, political boundaries or streets. The grid square approach can be further enhanced using 3D extrusions which facilitate simultaneous representation of an additional data characteristic, for example total stock combined with average rental value by location. Finally, modelling was conducted using hexagonal rather than grid squares, which revealed that hexagonal tiles are potentially more accurate, due to the proximity of data to the centroid of the tile (effectively losing the corners) and more efficacious at representing linear spatial patterns of of commercial property market data due to hexagons having 50% more directions of alignment than square tiles.
    Keywords: business rates; Commercial; Rateable value; retail property; Spatial Analysis
    JEL: R3
    Date: 2018–01–01
    URL: http://d.repec.org/n?u=RePEc:arz:wpaper:eres2018_61&r=tre
  11. By: Durrmeyer, Isis
    Abstract: I analyze the distributional effects of an environmental policy in the new automobile market: the French feebate. I quantify the monetary and environmental gains and losses that are due to this new automobile purchase tax/subsidy across consumers. I develop and estimate a structural model of the demand and supply for new cars that features a high level of heterogeneity in consumers' preferences. By exploiting data on car sales at the municipality level, I identify the heterogeneity parameters through the correlation that exists between household characteristics and car attributes across municipalities. I simulate the market equilibrium without the feebate to quantify the causal welfare and environmental effects of the feebate. The policy reduces average carbon emissions but increases the emissions of all the local pollutants, and the effects are heterogeneous across consumers, car manufacturers and pollutants. The performance of the feebate is very high for consumer surplus maximization, but there is room to increase manufacturers' profits and limit the emissions of local pollutants.
    Date: 2018–09
    URL: http://d.repec.org/n?u=RePEc:tse:wpaper:32928&r=tre
  12. By: Hironori Kato (University of Tokyo)
    Abstract: This paper describes Tokyo’s urban rail market, which has traditionally been privately funded and operated; and discusses policies aimed at better coordinating public transport services. Although the industry has delivered high quality infrastructure and services for most users, the existence of many different private operators and owners of tracks means that services and station facilities are not always well connected to one another. Individual private parties often lack sufficient incentives to invest in connectivity improvements, such as installing elevators in stations or implementing missing connections between lines, since these do not usually directly increase their profits. Three case studies explore different policy responses to the challenge of balancing competing wishes of private actors with the needs of travellers. In all cases the government has intervened through legislation and grants to try to stimulate connectivity investment and to do so in consultation with local communities. The recent government interventions into the Tokyo rail market represent a gradual evolution in market structure with the goal of better meeting social needs.
    Date: 2016–09–29
    URL: http://d.repec.org/n?u=RePEc:oec:itfaab:2016/19-en&r=tre
  13. By: Bridget R.D. Burdett; Stuart M. Locke; Frank Scrimgeour
    Abstract: Inclusiveness affects the underlying thinking and consequential analysis of accessibility issues in transport. If the fundamental premise is that all people are equal and should be viewed as stakeholders in matters of public policy then it not only reflects international treaties, such as the Rights of the Child and the Rights of Persons with Disability, it encapsulates these and others in a broader perspective of equality. To claim that inclusiveness in transport policy is a paradigm shift may be an over statement, however, what seems self-evident in our discussion is not reflected in best practice at this time. It is important that some measure of the particular beneficiaries of investment in barrier-free transport is defined. We propose that the use of observable mobility aids, by persons making all manner of trips as pedestrians and public transport users, can be incorporated into cost-benefit appraisal and to inform broader transport planning. The proportion of people using a mobility aid in catchment populations can be estimated so that gaps can be defined between current and desired levels of demonstrated inclusion in transport and especially accessible infrastructure. This indicator is readily operational to estimate benefits and comparative costs of trips not made. These methods ought to be refined to objectively assess accessibility in parallel with other objectives for transport.
    Date: 2017–02–28
    URL: http://d.repec.org/n?u=RePEc:oec:itfaab:2017/01-en&r=tre
  14. By: Elisa Borowski; Alireza Ermagun; David Levinson (TransportLab, School of Civil Engineering, University of Sydney)
    Abstract: This study explores the relationship between transit-based job accessibility and minority races and ethnicities, low- and middle-income households, and carless households at the block group level for the 50 largest by population metropolitan regions in the United States. A log-linear regression model is used to identify inequities in transit-based job accessibility across the US using data collected from the American Community Survey, the Environmental Protection Agency’s Smart Location Database, and the Access Across America database. The intra-metropolitan analyses reveal that accessibility is unevenly distributed across block groups that have different densities of race and levels of income. The differences in accessibility are especially apparent where there are denser pockets with higher percentages of African Americans, Hispanics, low-income households, and zero-car households. The inter-metropolitan analyses show that accessibility is unevenly distributed across metropolitan regions across the US when considering various sociodemographic populations. Different metropolitan regions provide different levels of accessibility for all investigated sociodemographic categories, whether considering racial minorities, levels of income, or car ownership. The results may inform recommendations for equitable transport planning and policy-making.
    Keywords: Accessibility, Equity, Justice, Transit timetable, Disadvantage, Regression
    JEL: R40 D63 R20
    Date: 2018
    URL: http://d.repec.org/n?u=RePEc:nex:wpaper:disparity&r=tre
  15. By: Laura Maravall Buckwalter (Universidad Carlos III de Madrid)
    Abstract: "By the end of the 19th century, the Algerian railway network played a crucial role as an instrument for settlement expansion and colonial control. A growing amount of research shows that railway expansion at this time allowed previously marginalized regions to participate in international trade and thereby boosting growth. Yet few studies point out that it also increased marginalization and reinforced dual economies in areas that did not experience access to the infrastructure or that did not have the required economies to profit from and engage in international markets. This paper looks into the effect of gaining railroad access on the indigenous and settler population density in French Algeria during this period. By taking advantage of unique territorial population data at a sub-municipal level and digitized historical colonization maps in the Constantine region, it measures the effect of gaining railway access in relatively isolated areas – areas in which the infrastructure arrived later – using a differences- in-differences methodology. Results show that the indigenous population responded positively to railroad infrastructure only in those regions where settlers were already located while the settler density did not respond to the infrastructure. To provide an explanation, it then analyzes freight and passenger transport at a more detailed level. In line with literature on Algerian railways, the results suggest that the potential gains were restricted by tariffs, which mirrored Constantine’s difficulty to engage in scale economies due to geographical restrictions, such as the limited fertile land and the vulnerability of agricultural production to climate."
    JEL: N00
    Date: 2018–04
    URL: http://d.repec.org/n?u=RePEc:ehs:wpaper:18008&r=tre
  16. By: Karla Münzel; Laura Piscicelli; Wouter Boon; Koen Frenken
    Abstract: Carsharing is regarded to play an important part in the transition towards a more sustainable mobility system by changing how cars are used and transportation needs are met. Over the past decade, there has been considerable interest in understanding the characteristics and motives of car sharers. Yet, studies have been mostly limited to small surveys in single cities. What is more, past studies only covered traditional business-to-consumer (B2C) carsharing, ignoring the growing popularity of peer-to-peer carsharing. The key question we pose in this study is whether characteristics and motives differ between B2C and P2P carsharing users. We present survey results among 1,836 Dutch citizens regarding the adoption, intention to adopt and non-adoption of both B2C and P2P carsharing. We further look into the frequency of use and car purchase avoidance among carsharing users. Finally, we investigate car owners who supply their car on P2P platforms. We find that B2C and P2P carsharing adopters are very similar. The main difference between the two users groups holds that B2C users are more frequent users with higher income valuing the convenience of B2C carsharing. We conclude that as the convenience of P2P carsharing is likely to increase with automatic locks and higher supply, user experiences may converge and market segments will progressively overlap.
    Keywords: sharing economy; carsharing; business-to-consumer; peer-to-peer; innovation adoption; two-sided platform
    Date: 2018–09
    URL: http://d.repec.org/n?u=RePEc:uis:wpaper:1801&r=tre
  17. By: Somwrita Sarkar; Hao Wu; David Levinson (TransportLab, School of Civil Engineering, University of Sydney)
    Abstract: Polycentricity is most commonly measured by location-based metrics (e.g. employment density or total number of workers, above a threshold, used to count the number of centres). While these metrics are good indicators of location ‘centricity’, the results are sensitive to threshold-choice. We consider here the alternate idea that a centre’s status depends on which other locations it is con- nected to in terms of trip inflows and outflows: this is inherently a network rather than a location idea. A set of flow and network-based centricity metrics for measuring metropolitan area poly- centricity using Journey-To-Work (JTW) data are presented: (a) trip-based, (b) density-based, and, (c) accessibility-based. Using these measures, polycentricity is computed and rank-centricity distributions are plotted to test whether these distributions follow Zipf-like or Chirstaller-like distributions. Further, a percolation theory framework is proposed for the full origin-destination (OD) matrix, where trip flows are used as a thresholding parameter to count the number of sub-centres. It is found that trip flows prove to be an effective measure to count and hierarchically organise metropolitan area sub-centres, and provide one way of dealing with the arbitrariness of defining a threshold on numbers of employed persons, employment density, or centricities to count sub-centres. These measures demonstrated on data from the Greater Sydney region show that the trip flow-based threshold and network centricities help to characterize polycentricity more robustly than the traditional number or density-based thresholds alone and provide unexpected insights into the connections between land use, transport, and urban structure.
    Keywords: Polycentricity, Journey-to-work, origin-destination flows, networks, accessibility, percolation
    JEL: R40 R12 R14 R23 R31 O18
    Date: 2018
    URL: http://d.repec.org/n?u=RePEc:nex:wpaper:polycentricity&r=tre
  18. By: Anthony Yezer (George Washington University); William Larson (Federal Housing Finance Agency); Weihua Zhao (University of Louisville)
    Abstract: Past research has established positive empirical relation between city-level land use regulations and housing costs. One interpretation of these findings is that building restrictions raise the cost of producing housing. Alternatively, these price effects could reflect greater willingness to pay for quality urban design. Disentangling and identifying cost versus amenity factors empirically is an unresolved challenge. This paper presents an alternative to empirical tests, relying instead on the predictions of neoclassical urban theory. Simulations of an open city model demonstrate that theoretical predictions differ substantially from those obtained from empirical testing in two main ways. First, restrictions on land use and housing density influence the price level but not the elasticity of housing supply. Second, the effects of land use restrictions on average house prices are ambiguous and depend on the precise location of the planning restriction. Furthermore, the model generates direct estimates of effects on wages and demonstrates that transportation impediments are more consequential for housing prices than land use restrictions. This indicates a potentially fruitful path for future empirical work, and the possibility of omitted variable bias if transportation impediments are correlated with land use regulation.
    Keywords: monocentric city model, price gradient, zoning, standard urban model
    JEL: R30 R31 R38
    Date: 2018–06
    URL: http://d.repec.org/n?u=RePEc:gwi:wpaper:2018-6&r=tre
  19. By: Mengying Cui; David Levinson (TransportLab, School of Civil Engineering, University of Sydney)
    Abstract: This paper develops a link-based full cost model, which identifies the key cost components of travel, including both internal and external versions of cost, and gives a link-based cost estimate. The key cost components for travelers are categorized as time cost, emission cost, crash cost, user monetary cost, and infrastructure cost. Selecting the Minneapolis - St. Paul (Twin Cities) Metropolitan region as the study area, the estimates show that the average full cost of travel is $0.68/veh-km, in which the time and user monetary costs account for approximately 85% of the total. Except for the infrastructure cost, highways are more cost-effective than other surface roadways considering all the other cost components, as well as the internal and full costs.
    Keywords: full cost, internal costs, external costs, double counting
    JEL: R40 D62 H23 R20 Q50
    Date: 2018
    URL: http://d.repec.org/n?u=RePEc:nex:wpaper:linkbasedfullcost&r=tre

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