Distributional impacts of road pricing : the truth behind the myth

This paper shows that road pricing can be regressive, progressive or neutral and refutes the generalised idea that road pricing is always regressive. The potential distributional impacts of a road pricing scheme are assessed in three English towns. It is found that impacts are town specific and depe...

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Main Authors: Santos, G, Rojey, L
Format: Journal article
Published: Springer US 2004
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author Santos, G
Rojey, L
author_facet Santos, G
Rojey, L
author_sort Santos, G
collection OXFORD
description This paper shows that road pricing can be regressive, progressive or neutral and refutes the generalised idea that road pricing is always regressive. The potential distributional impacts of a road pricing scheme are assessed in three English towns. It is found that impacts are town specific and depend on where people live, where people work and what mode of transport they use to go to work. Initial impacts may be progressive even before any compensation scheme for losers is taken into account. When the situation before the scheme is implemented is such that majority of drivers entering the area where the scheme would operate come from households with incomes above the average, it can be expected that, once the scheme is implemented, these drivers coming from rich households will continue to cross the cordon and will be prepared to pay the charge. In such a case the overall effect will be that on average, rich people will pay the toll and poor people will not.
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spelling oxford-uuid:49109f98-67c9-4d19-bf78-56b99795847b2022-03-26T15:29:20ZDistributional impacts of road pricing : the truth behind the mythJournal articlehttp://purl.org/coar/resource_type/c_dcae04bcuuid:49109f98-67c9-4d19-bf78-56b99795847bTransport Studies UnitSpringer US2004Santos, GRojey, LThis paper shows that road pricing can be regressive, progressive or neutral and refutes the generalised idea that road pricing is always regressive. The potential distributional impacts of a road pricing scheme are assessed in three English towns. It is found that impacts are town specific and depend on where people live, where people work and what mode of transport they use to go to work. Initial impacts may be progressive even before any compensation scheme for losers is taken into account. When the situation before the scheme is implemented is such that majority of drivers entering the area where the scheme would operate come from households with incomes above the average, it can be expected that, once the scheme is implemented, these drivers coming from rich households will continue to cross the cordon and will be prepared to pay the charge. In such a case the overall effect will be that on average, rich people will pay the toll and poor people will not.
spellingShingle Santos, G
Rojey, L
Distributional impacts of road pricing : the truth behind the myth
title Distributional impacts of road pricing : the truth behind the myth
title_full Distributional impacts of road pricing : the truth behind the myth
title_fullStr Distributional impacts of road pricing : the truth behind the myth
title_full_unstemmed Distributional impacts of road pricing : the truth behind the myth
title_short Distributional impacts of road pricing : the truth behind the myth
title_sort distributional impacts of road pricing the truth behind the myth
work_keys_str_mv AT santosg distributionalimpactsofroadpricingthetruthbehindthemyth
AT rojeyl distributionalimpactsofroadpricingthetruthbehindthemyth