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on Transport Economics |
| By: | Guy Meunier; Jean-Pierre Ponssard (X - École polytechnique) |
| Abstract: | Summary: Hydrogen is a possible alternative to the internal combustion engine, alongside battery-powered vehicles, in the context of reducing greenhouse gas emissions associated with transport activities. The costs associated with hydrogen vehicles are currently high, even when considering the greenhouse gas emissions and other pollutants avoided by their use. Efforts to reduce these costs, which will determine the social and environmental desirability of hydrogen vehicles, face two challenges : the high cost of refueling, linked to the crucial problem of coordination between development of the vehicle fleet and refueling infrastructure; and high purchase prices, which may decrease when sufficient quantities generate experience effects. This policy brief argues that each of these two handicaps calls for a specific policy design : at a local level for coordination between actors, and at a European level to generate sufficient volumes. The example of hydrogen-powered urban buses offers a telling illustration of these issues.. Key points: The growing importance of the hydrogen sector has been encouraged by various initiatives in France. These initiatives are based on the idea of a regional ecosystem : around a city, a network of local communities, or even a department or a region. The example of hydrogen buses shows that the abatement costs induced by this technology are still too high. The problem lies both in the price of the vehicles and the supply of fuel. Reducing the costs associated with the supply of fuel requires the resolution of coordination problems linked to network effects, which calls for a response at the local level. Achieving vehicle purchase prices low enough to be competitive requires a European approach, which alone makes it possible to reach significant volumes. |
| Date: | 2020–07 |
| URL: | http://d.repec.org/n?u=RePEc:hal:journl:halshs-03019425&r=all |
| By: | Odolinski, Kristofer (Swedish National Road & Transport Research Institute (VTI)); Lidén, Tomas (Swedish National Road & Transport Research Institute (VTI)) |
| Abstract: | In this paper we estimate the impact of line capacity utilisation on the marginal cost of rail infrastructure renewals. Previous studies are mainly concerned with deterioration costs caused by traffic. This paper contributes to the literature, showing that increased line capacity utilisation can – in addition to higher deterioration costs – generate increased costs for carrying out a renewal project and/or more frequent renewals, where the latter can be motivated by efforts to curb expected delays. A top-down econometric approach is used on a Swedish dataset comprising information on renewal costs for track, electric installations, signalling, telecommunication, and other installations such as barriers, fencing and lubrication equipment. The results are relevant for rail infrastructure managers, especially in Europe where directives by the EU stipulate that track access charges are to be based on direct costs in order to contribute to an efficient use of the infrastructure. |
| Keywords: | Marginal cost; Capacity utilisation; Renewal; Rail infrastructure; Access charging |
| JEL: | H54 L92 R48 |
| Date: | 2021–01–26 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:vtiwps:2021_001&r=all |
| By: | Arik Levinson; Lutz Sager |
| Abstract: | Regulators attest that tightened energy efficiency standards save consumers money. Efficient light bulbs, appliances, and vehicles cost more upfront but reduce energy expenses by more than enough to compensate. We use survey data on American cars and their drivers to examine whether individual drivers have indeed underinvested in fuel economy, given the gas prices they face and the miles they drive. We find that may be true, but only on average. Some drivers could likely have saved money by spending more upfront for efficient cars. But many others could have saved money purchasing less expensive, less fuel-efficient cars. In fact we find little correlation between individual drivers’ annual fuel expenditures and their fuel economy choices: a driver’s income, sex, age, and education are far more closely associated with their vehicle’s fuel economy. We can rule out several explanations for the disconnect. Rich car purchasers do not seem to consider fuel expenses any more than poorer ones, undermining arguments that borrowing constraints prevent low-income consumers from investing in fuel efficiency. And the disconnect between fuel expenses and vehicle choice holds whether we examine anticipated or realized mileage, ruling out mistaken expectations about future driving as an explanation. |
| JEL: | Q48 Q58 R48 |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:28219&r=all |
| By: | Prateek Bansal; Rajeev Ranjan Kumar; Alok Raj; Subodh Dubey; Daniel J. Graham |
| Abstract: | Consumer preference elicitation is critical to devise effective policies for the diffusion of electric vehicles in India. For this purpose, we use stated preferences of over 1000 Indian consumers and present the first estimates of the additional purchase price that Indian consumers are willing to pay to improve the electric vehicle attributes (e.g., driving range). We adopt a hybrid choice modelling framework to simultaneously model the willingness to pay and the effect of consumers' latent attitudes (e.g., hedonic and symbolic values) on their likelihood to adopt electric vehicles. We also account for reference dependence by considering a conventional vehicle as the reference alternative and illustrate that the resulting willingness to pay estimates are more realistic. Based on our results, Indian consumers are willing to pay additional USD 10-34 in purchase price to reduce the fast charging time by 1 minute, USD 7-40 to add a kilometre to the driving range of electric vehicle at 200 kilometres, and USD 104-692 to save USD 1 per 100 kilometres in operating cost. These estimates and the effect of attitudes on the likelihood to adopt electric vehicles provide insights about electric vehicle design, marketing strategies, and pro-electric-vehicle policies (e.g., specialised lanes and reserved parking for electric vehicles) to expedite the adoption of electric vehicles in India. |
| Date: | 2021–01 |
| URL: | http://d.repec.org/n?u=RePEc:arx:papers:2101.08008&r=all |
| By: | Lucas W. Davis |
| Abstract: | This paper uses fare changes in Mexico City, Guadalajara, and Monterrey to estimate the price elasticity of demand for urban rail transit. In two of the cases there is a significant fare increase (30%+), and in the third there is a 60-day fare holiday. Ridership responds sharply in the expected direction in all three cities, implying price elasticities which range across cities from -.23 to -.32. In addition, there is suggestive evidence that the temporary fare holiday led to a higher baseline level of ridership. These estimates are directly relevant for policymakers considering alternative pricing structures for urban rail. The paper discusses the relevant economic considerations and then shows how the estimated elasticities can be used to perform policy counterfactuals. |
| JEL: | H23 Q53 R41 R42 |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:28244&r=all |
| By: | Gabriel Loumeau (ETH Zurich, Switzerland) |
| Abstract: | I study how and why economic activity varies around regional borders. Spatial quasi-experimental variation around French departmental borders reveals discontinuous commuting and residential patterns. To tackle the endogenous border placement problem, I exploit a geometric border design proposed during the French Revolution. I then calibrate a spatial quantifiable general equilibrium framework to structurally match the quasi-experimental estimates. The commuting and residential discontinuities are well explained by a 7km bilateral distance penalty when crossing regional borders, which is the consequence of the decentralized planning and development of local transport networks. Policy simulation shows that integrating local transport networks leads to a 11.7% average growth in real per capita residential income. |
| Keywords: | Border, Commuting, Discontinuity, Transport network, Decentralization |
| JEL: | R12 R42 O18 |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:kof:wpskof:20-489&r=all |
| By: | Michelowenta, Ayu Reza; Fitriani, Dennisa Rachma; Yuliyana, Luluk |
| Abstract: | The research aims to determine the implementation of the Regional Regulation of the Regency of Tulungagung on Regional Levies and also to find out the limits of the implementation of the Regional Regulation of the Regency of Tulungagung on Regional Levies. This type of research is descriptive qualitative research. Qualitative in question is how the investigation describes the phenomena that exist in the field, in this case it is related to how the parking conditions in Tulungagung Regency. Meanwhile, the descriptive description of the parking problem in Tulungagung Regency, especially for the type of parking. This study develops concepts and collects factual data in the field but does not perform hypothesis testing. The self-parking payment process in the Regency of Tulungagung has been integrated with the payment of motorized vehicle tax at the local Samsat office. Parking is implemented in the Regency of Tulungagung does not cover all roads or parking locations in the Regency. Tulungagung Regent Regulation number 33 of 2013 concerning Implementation of Regional Regulation of Tulungagung Regency Number 10 of 2011 concerning Implementation of Parking in Tulungagung Regency that implements the provisions of article 7 paragraph (2), article 8 paragraph (4), article 9 paragraph (2), article 37 paragraph (4), article 38 paragraph (5), article 39 paragraph (7), article 41 paragraph (3) and article 45 paragraph (4) Kab. Tulungagung number 10 of 2011 concerning the Implementation of Parking. The party responsible for the socialization of this land parking is the local Transportation Agency. The notification of the increase in levy rates is carried out a full month before the new rates are enforced. However, thanks to the socialization, there was no public notification about where the parking lot was to the community. It is better if the socialization of parking locations is re-enforced so that the public can exercise their right to use the parking for taxpayers to pay taxes on motorized vehicles every year. |
| Date: | 2021–01–13 |
| URL: | http://d.repec.org/n?u=RePEc:osf:osfxxx:7wxch&r=all |
| By: | Bruno De Borger; Amihai Glazer; Stef Proost |
| Abstract: | People who anticipate the introduction of a policy can adapt their behavior, perhaps in ways that make the policy ineffective and exacerbate the problem to be addressed. This paper develops a political economy model to study strategic behavior related to the introduction of congestion policies, focusing on tradeable driving permits and congestion tolls. We have the following results. First, anticipatory behavior after the policies are announced but prior to their introduction may make both congestion policies welfare-reducing. Second, drivers will oppose the policies even when they receive all permits for free, or toll revenues are distributed to drivers only. As a consequence, strategic behavior makes it more difficult to get a political majority to support both congestion policies. Third, in an infinite horizon setting, tradable permits are superior to congestion tolls in that they avoid strategic behavior once the system is implemented. In contrast, with congestion tolls the steady-state equilibrium implies continuing strategic behavior. Drivers will always strictly prefer a permit system over congestion tolls as long as they receive a sufficient share of the permits for free. |
| Keywords: | anticipatory behaviour, political economy, congestion tolls, tradeable driving permits, strategic behavior |
| JEL: | H23 R41 R48 P16 |
| Date: | 2021 |
| URL: | http://d.repec.org/n?u=RePEc:ces:ceswps:_8821&r=all |
| By: | Bertin Martens (European Commission - JRC); Bo Zhao (Tilburg University - Netherlands) |
| Abstract: | We study the case of a Chinese industrial policy, implemented in Shanghai, that makes it mandator for car manufacturers to share electro-mechanical performance and real time navigation data from their entire fleet of electric and hybrid vehicles with local and central government authorities. This policy seeks to reduce emissions, assess the performance of New Energy Vehicles (NEVs), prevent fraud in state subsidies and strengthen the competitiveness of Chinese manufacturers of these vehicles. We argue that economies of scope in data aggregation may provide traditional market failure arguments for government intervention and mandatory data pooling. Our paper also illustrates how data access regulation could be used for economic regime competition. The EU and China pursue very similar data policy goals that hinge on economies of scope in data aggregation. However, they follow very different political processes to achieve these goals. |
| Keywords: | China, data governance, data sharing and access rights, regime competition, industrial policy |
| JEL: | L11 L41 L43 L62 |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:ipt:decwpa:202008&r=all |
| By: | César Ducruet; Réka Juhász; Dávid Krisztián Nagy; Claudia Steinwender |
| Abstract: | This paper examines the effects of port development on the economy. By using scarce local land intensively, ports put pressure on local land prices and crowd out other forms of economic activity. We use the introduction of containerized shipping -- a technology that substantially increased land requirements at the port -- to estimate the effects of port development. We find an important role for the crowding-out effect both at the local and at the aggregate level. First, we show that the causal effect of the shipping boom caused by containerization on local population is zero -- port development increases city population by making a location more attractive for firms and consumers, but this well-known market access effect is fully offset by the crowding-out mechanism. Second, to measure the aggregate implications, we add endogenous port development to a standard quantitative model of cross-city trade. Through the lens of this model, we estimate that containerization increased aggregate world welfare by 3.95%. However, relative to the positive welfare effects of a trade-cost reduction in standard models, our model implies a sizeable welfare cost associated with the increased land-usage of ports, partly offset by welfare gains from endogenous specialization based on comparative advantage across port- and non-port activities. In terms of the distributional effects, we find that initially poorer countries gained more from containerization as they had a comparative advantage in port development. |
| Keywords: | port development, containerization, quantitative economic geography |
| JEL: | R40 O33 F6 |
| Date: | 2020–12 |
| URL: | http://d.repec.org/n?u=RePEc:cep:cepdps:dp1734&r=all |