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The analysis of the relationship between transport and
environmental policy invites an interdisciplinary treatment and a
variety of approaches, and rightly so. An important subset of the
approaches used involves economic analysis. Economic approaches
often consider pricing policies, attempting to evaluate their
effectiveness in comparison with more traditional measures such as
command and control' regulation and directed technological
innovation. Another important subset of approaches involves
simulation modelling, where key relationships are presented
mathematically so that their influence can be quantified and their
interrelationships discerned precisely. This book treats the
intersection of these two subsets: simulation models with a strong
economic content. This intersection defines a broad but powerful
way to study environment and transport. Its breadth is illustrated
by the wide range of policies treated here, from carbon taxes to
speed limits. Its power derives from the way insights into
interrelated actions and the role of markets - the strong points of
economic theory - are cast into a form suitable for making
quantitative predictions about the results of policies. Case
studies are used to show how simulation models can be designed and
used to quantify the effectiveness of economic policies in terms of
transport systems management and environmental protection, the
emphasis being on the role of the markets in tracing the many
effects that policies have, both anticipated and otherwise.
The analysis of the relationship between transport and
environmental policy invites an interdisciplinary treatment and a
variety of approaches, and rightly so. An important subset of the
approaches used involves economic analysis. Economic approaches
often consider pricing policies, attempting to evaluate their
effectiveness in comparison with more traditional measures such as
command and control' regulation and directed technological
innovation. Another important subset of approaches involves
simulation modelling, where key relationships are presented
mathematically so that their influence can be quantified and their
interrelationships discerned precisely. This book treats the
intersection of these two subsets: simulation models with a strong
economic content. This intersection defines a broad but powerful
way to study environment and transport. Its breadth is illustrated
by the wide range of policies treated here, from carbon taxes to
speed limits. Its power derives from the way insights into
interrelated actions and the role of markets - the strong points of
economic theory - are cast into a form suitable for making
quantitative predictions about the results of policies. Case
studies are used to show how simulation models can be designed and
used to quantify the effectiveness of economic policies in terms of
transport systems management and environmental protection, the
emphasis being on the role of the markets in tracing the many
effects that policies have, both anticipated and otherwise.
"America's interstate highway system is deteriorating, and traffic
congestion in most urban centers is worsening. Because of the many
strong and conflicting interests, policy discussions about the road
system are also in gridlock. The only consensus that seems to have
emerged is that public spending must be increased. Improving our
highway system and its financing will not be easy. Road Work
proposes a comprehensive highway pricing and investment policy to
meet the goals of efficiency, equity, and financial stability. In
this study, Kenneth A. Small, Clifford Winston, and Carol A. Evans
base their policy on two economic principles: efficient pricing to
regulate demand for highway services and efficient investment to
minimize the total public and private costs of providing them.
Policy recommendations include a set of pavement-wear taxes for
heavy trucks, a set of congestion taxes for all vehicles, and a
program of optimal investments in road durability. Their proposals
should be especially attractive to policymakers because they can be
implemented with current technology, offer little threat to the
major interest group, and in the long run will reduce the strain on
state and local governments' highway budgets. "
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