No Other Way: Pricing Congestion to Stop Congestion

In a study published in this month’s American Economic Review, researchers contended that congestion pricing is the only solution to decrease congestion, writes Eric Jaffe for The Atlantic Cities.

1 minute read

October 19, 2011, 12:00 PM PDT

By Kristopher Fortin


The two economists from the University of Toronto analyzed traffic data and road capacity in U.S. cities from 1983 to 2003 to find that increasing road capacity or expanding public transportation cannot solve congestion.

If increasing road capacity is ineffective, expanding public transportation usually touted as the real solution, but the paper's authors argue that is not the case.

"There is such an enormous latent demand for road space, they believe, that whenever a driver shifts onto public transportation, another one quickly grabs the open lane."

Congestion pricing programs in London and Stockholm have decreased overall car use and delays during peak hours by half.

Wednesday, October 19, 2011 in The Atlantic Cities

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