dc.contributor.author
Heller, C.-Philipp
dc.contributor.author
Johnen, Johannes
dc.contributor.author
Schmitz, Sebastian
dc.date.accessioned
2018-06-08T08:24:58Z
dc.date.available
2015-07-13T12:03:47.973Z
dc.identifier.uri
https://refubium.fu-berlin.de/handle/fub188/20061
dc.identifier.uri
http://dx.doi.org/10.17169/FUDOCS_document_000000022817
dc.description.abstract
We study road congestion as a mechanism design problem. In our basic model we
analyze the allocation of a set of drivers among two roads, one of which may
be congested. An additional driver on the congestible road imposes an
externality on the other drivers by increasing their travel time. Each driver
is privately informed about her value of time and asked to report that value
to the mechanism designer, who assigns drivers to roads. With a finite number
of drivers, there is aggregate uncertainty and the efficient allocation is ex
ante unknown. Setting a single Pigouvian price is then not optimal. However,
the efficient allocation is implementable by a Vickrey-Clarke-Groves price
schedule that lets each driver pay the externality she imposes on other
drivers. This allows drivers to pay to have other drivers use the slow road
instead of the congestible road. As the number of drivers becomes large, there
is a single optimal Pigouvian price that leads to an efficient allocation.
However, finding this price requires the mechanism designer to either know the
precise distribution of the value of time or the use of our mechanism. We
analyze some extensions and apply our model to various congestion problems
arising in other contexts.
en
dc.relation.ispartofseries
urn:nbn:de:kobv:188-fudocsseries000000000319-4
dc.relation.ispartofseries
urn:nbn:de:kobv:188-fudocsseries000000000006-7
dc.rights.uri
http://www.fu-berlin.de/sites/refubium/rechtliches/Nutzungsbedingungen
dc.subject
Mechanism Design
dc.subject
Congestion Pricing
dc.subject.ddc
300 Sozialwissenschaften::330 Wirtschaft
dc.title
Congestion pricing
dc.title.subtitle
a mechanism design approach
refubium.affiliation
Wirtschaftswissenschaft
de
refubium.mycore.fudocsId
FUDOCS_document_000000022817
refubium.series.issueNumber
2015,20 : Economics
refubium.series.name
Diskussionsbeiträge des Fachbereichs Wirtschaftswissenschaft der Freien Universität Berlin
refubium.mycore.derivateId
FUDOCS_derivate_000000005194
dcterms.accessRights.openaire
open access