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Optimal prices and frequencies for buses in Stockholm
KTH, School of Architecture and the Built Environment (ABE), Centres, Centre for Transport Studies, CTS. KTH, School of Architecture and the Built Environment (ABE), Transport Science, System Analysis and Economics.ORCID iD: 0000-0001-9235-0232
2017 (English)In: Economics of Transportation, ISSN 2212-0122, E-ISSN 2212-0130, Vol. 9, p. 20-36Article in journal (Refereed) Published
Abstract [en]

Many public transport services are heavily subsidized. One of the main justifications is the expected beneficial effect on road congestion. Stockholm introduced congestion pricing in 2006 and the effects on car and public transport demand were carefully monitored. The change in prices provides unique estimates on price-and cross-price elasticities. This paper uses these data to model how the optimal pricing, frequency, bus size and number of bus lanes for a corridor depends on the presence of congestion pricing for cars. Results show that the presence of road pricing makes the current subsidies for peak bus trips too high. However, the major welfare benefits of re-optimizing the current bus supply stem from a decrease in frequencies during the off-peak period and the use of larger buses.

Place, publisher, year, edition, pages
Elsevier, 2017. Vol. 9, p. 20-36
Keywords [en]
Public transport, Bus fares, Bus lanes, Bus frequency, Public transport subsidies, Congestion pricing
National Category
Transport Systems and Logistics Economics and Business
Identifiers
URN: urn:nbn:se:kth:diva-211622DOI: 10.1016/j.ecotra.2016.12.001ISI: 000405721700002Scopus ID: 2-s2.0-85009271410OAI: oai:DiVA.org:kth-211622DiVA, id: diva2:1130640
Funder
VINNOVA, 2014-03587
Note

QC 20170810

Available from: 2017-08-10 Created: 2017-08-10 Last updated: 2017-08-10Bibliographically approved

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Börjesson, Maria

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CiteExportLink to record
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Citation style
  • apa
  • harvard1
  • ieee
  • modern-language-association-8th-edition
  • vancouver
  • Other style
More styles
Language
  • de-DE
  • en-GB
  • en-US
  • fi-FI
  • nn-NO
  • nn-NB
  • sv-SE
  • Other locale
More languages
Output format
  • html
  • text
  • asciidoc
  • rtf