Advanced Pricing and Rationing Policies for Large Scale Multimodal Networks

This paper explores the application of simplified schemes, such as cordon pricing, as second-best solutions to the toll network design problem. The methodology presented here simulates desired urban scenarios through a multiclass traffic assignment on multimodal networks with elastic demand and non-separable arc cost functions. A suitable equilibrium model has been developed along with an efficient algorithm capable of simulating large scale networks in reasonable computational time. This model implements the theoretical framework proposed in a previous work on the toll optimization problem, where the validity of marginal cost pricing for the context at hand is stated. The model is applied to a case study of Rome, which demonstrates that on multimodal networks a relevant share (up to 20%) of the maximum improvements in terms of social welfare achievable with marginal cost pricing can in fact be obtained through cordon pricing. Findings from the application also show that, in practical terms, rationing is a valid alternative to pricing, thus getting around some of the relevant questions (theoretical, technical, social) the latter raises. This model also offers the power and versatility to consider other more general policies and schemes.

Language

  • English

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Filing Info

  • Accession Number: 01003105
  • Record Type: Publication
  • Files: TRIS, ATRI
  • Created Date: Aug 21 2005 12:16PM