A Modelling Approach
Edited by Bruno De Borger and Stef Proost
Bruno De Borger, John Peirson and Roger Vickerman 3.1 INTRODUCTION The previous chapter resulted in two speciﬁc lessons for transport policy design. First, it suggested that there does not exist a single policy instrument that internalises all externalities simultaneously. Individual price and non-price instruments may be quite successful in internalising individual externalities (for example, insurance premiums to tackle accident risks, fuel taxes to correct for CO2 emissions, direct emission regulation to reduce other air pollution), but a coherent transport policy necessitates a welldesigned policy package, consisting of an appropriate combination of instruments. Second, the discussion made it clear that from an eﬃciency viewpoint an increasing reliance on pricing instruments is necessary. Moreover, internalising the congestion externality is diﬃcult with the existing price instruments, so that new pricing tools will have to be introduced that allow diﬀerentiation of charges in time and space in function of local and temporal variations in congestion. One of the main objectives of this book is to study the implications of various policy packages for transport demand and for overall welfare in a number of diﬀerent European cities and countries, using a numerical optimisation model speciﬁcally designed for this purpose. In this chapter we present the policy packages that were selected for the empirical analysis reported on later in the book. The criteria for the selection of the policy packages were the following. First, they had to be consistent with a stronger emphasis on pricing instruments, as suggested by economic...
You are not authenticated to view the full text of this chapter or article.
Elgaronline requires a subscription or purchase to access the full text of books or journals. Please login through your library system or with your personal username and password on the homepage.
Non-subscribers can freely search the site, view abstracts/ extracts and download selected front matter and introductory chapters for personal use.
Your library may not have purchased all subject areas. If you are authenticated and think you should have access to this title, please contact your librarian.