Econometrica: Oct 1961, Volume 29, Issue 4
The Theory and Measurement of Private and Social Cost of Highway Congestion
A. A. WaltersThis paper attempts to apply the theory of marginal cost pricing to the services of the highways of the U.S.A. Empirical evidence suggests that "efficient prices" are generally much higher than present levels. This Implies that gasoline taxes should be increased and Special tolls charged in congested areas.
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