This paper introduces the idea of the 'multi-mode ticket' , an attractive alternative for small and medium-sized towns that often face severe traffic jam problems and are interested in low-cost solutions. Each driver entering the inner city by car on workdays should provide a valid ticket for the public transportation system, either a monthly ticket for commuters or a single return ticket for occasional travellers. When paying this 'entrance fee' each car driver would receive a vignette that had to be put on the windshield for easy monitoring by traffic wardens in the inner city zone. This idea was brought up by the Stockholm Urban Traffic Committee in the late 1980s. Since the implementation would have required a change in federal law, the idea completely disappeared from the political agenda. In this paper the economic incentive structure of the multi-mode ticket is discussed in detail and ways to implement such a low-cost solution are outlined. It can be shown that the multi-mode ticket will not fully internalize the external costs of urban road congestion. But it offers towns with severe traffic problems a low-cost easy-to-implement policy that promises significant welfare gains and is easy to administer and monitor.
Not optimal, but effective: the multi-mode ticket for reducing urban traffic congestion in medium-sized towns
CESifo DICE Report ; 3 , 3 ; 28-33
2005
6 Seiten, 3 Bilder, 14 Quellen
Aufsatz (Zeitschrift)
Englisch
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