The Distributional Effects of Congestion Taxes.

The article examines the impact of taxes on road congestion. The standard treatment of road congestion assumes that the value of time is the same for every journey, regardless of whom it is made by. Given this, the money value of the time cost of journeys is a unique function of the number of journe...

Descripción completa

Detalles Bibliográficos
Publicado en:Economica Vol. 44; no. 175; pp. 297 - 305
Autor principal: Layard, Richard
Formato: Artículo
Publicado: Wiley-Blackwell Aug77
Materias:
Acceso en línea:Ver este registro en EBSCOhost
fields @attributes:
  recordID: 1
pdfLink:
plink: https://search.ebscohost.com/login.aspx?direct=true&db=hlh&AN=4516717&site=ehost-live
header:
  @attributes:
    shortDbName: hlh
    uiTerm: 4516717
    longDbName: Humanities International Complete
    uiTag: AN
  controlInfo:
    bkinfo:
    jinfo:
      jid:
        00130427
        ECA
      jtl: Economica
      issn: 00130427
      maglogo: Y
    pubinfo:
      dt: Aug77
      vid: 44
      iid: 175
      pid: 480
      pub: Wiley-Blackwell
    artinfo:
      ui:
        4516717
        10.2307/2553654
      ppf: 297
      ppct: 8
      formats:
      tig:
        atl: The Distributional Effects of Congestion Taxes.
      aug:
        au: Layard, Richard
        affil: The London School of Economics
      su:
        Transportation tax
        Taxation
        Voyages & travels
        Income
        Economic equilibrium
      sug:
        subj:
          Transportation tax
          Taxation
          Voyages & travels
          Income
          Economic equilibrium
      ab: The article examines the impact of taxes on road congestion. The standard treatment of road congestion assumes that the value of time is the same for every journey, regardless of whom it is made by. Given this, the money value of the time cost of journeys is a unique function of the number of journeys, independent of demand conditions. This is a fairly radical simplification, and it is natural to ask how the policy conclusions about optimal congestion taxes are modified when the value of time is allowed to vary between journeys. The analysis shows that the tax will discourage journeys with low time values and will probably encourage journeys with high time values. Thus, leaving aside the disposal of its proceeds, the tax may well be regressive. The money value of the time cost of journeys is no longer a simple function of the number of journeys. It depends on which journeys are being made, and not only on how many. However, the time cost measured in units of time is an unambiguous function of the number of journeys. Thus, the free market equilibrium can be obtained by constructing a new demand function as a function of journey-time. This analysis of progressivity/regressivity has so far ignored the substitution effects of the tax and considered only the effect of cost differences applying to journeys made before and after the tax. In addition, one now needs to take into account the costs accruing to those low-income travellers whose journeys are deterred by the tax, and the gains to those high-income travellers whom the tax encourages to travel.
      pubtype: Academic Journal
      doctype: Article
      src: R
    language: English
    refInfo:
    copyright:
      @attributes:
        flag: Y
      dt:
        @attributes:
          year: 1977
    holdings:
      @attributes:
        islocal: N