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Measuring the marginal cost of road use
2004 (English)Report (Other academic)
Abstract [sv]

The Swedish National Road and Transport Research Institute (VTI) has carried

out this survey, which is expected to generate results of use for

implementation of marginal cost based pricing of transport in terms of the

principles laid down in the white paper on a common transport policy

presented by the EU Commission in September 2001. The purpose of the survey

is to review alternative methods that may be used for estimating marginal

infrastructure costs. The survey identifies four different approaches to the

measurement of the marginal cost of road use and evaluates empirical studies

based on these approaches. One approach is referred to as the econometric

approach. There are few examples of this approach, which is explained by that

it is difficult to generate the required data. The value of the approach is

also limited by that it relies on historical data. Two of the other methods

differentiated between are often based on similar assumptions. It is argued

that both what is called the indirect approach and the full cost allocation

approach basically rely on the properties of Newbery's 'fundamental theorem'.

A fourth approach identified in the Survey is to use the models (PMSs) used

by road authorities in the planning of road works. The idea is not new, but

has rarely been applied. It is demonstrated in the survey how the approach

may be employed for a specific road by way of the HDM 4 model, developed by

the World Bank. There are several advantages of using a PMS, including that

marginal costs will be derived with the same methodology that is used to rank

investments, determine maintenance priorities and to prepare a road

authority's budget.

Place, publisher, year, edition, pages
Linköping: Statens väg- och transportforskningsinstitut., VTI meddelande 963A , 2004.
Series
VTI meddelande, ISSN 0347-6049
Keyword [en]
English, Sweden, Cost, Method, Calculation, Alternative, Wear, Deformation, Pavement management system, Journey time, Maintenance
Research subject
Road: General works, surveys, comprehensive works, Road: Economics
Identifiers
URN: urn:nbn:se:vti:diva-5139OAI: oai:DiVA.org:vti-5139DiVA: diva2:673969
Available from: 2013-12-03 Created: 2013-12-03 Last updated: 2013-12-03

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CiteExportLink to record
Permanent link

Direct link
Cite
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