Munich Personal RePEc Archive

Bottleneck congestion and residential location of heterogeneous commuters

Takayama, Yuki and Kuwahara, Masao (2016): Bottleneck congestion and residential location of heterogeneous commuters.

WarningThere is a more recent version of this item available.
[img]
Preview
PDF
MPRA_paper_68940.pdf

Download (674kB) | Preview

Abstract

This study examines effects of bottleneck congestion and an optimal time-varying congestion toll on the spatial structure of cities. To this end, we develop a model in which heterogeneous commuters choose departure times from home and residential locations in a monocentric city with a bottleneck located between a central downtown and an adjacent suburb. We then show three properties of our model by analyzing equilibrium with and without congestion tolling. First, commuters with a higher value of travel time choose to live closer to their workplace. Second, congestion tolling causes population to increase in the suburb and generates urban sprawl. Third, commuters with a higher (lower) value of travel time gain (lose) from imposing the congestion toll without toll-revenue redistribution. Our findings are opposite to the standard results of traditional location models, which consider static traffic flow congestion, and differ fundamentally from the results obtained by Arnott (1998), who considers homogeneous commuters.

Available Versions of this Item

UB_LMU-Logo
MPRA is a RePEc service hosted by
the Munich University Library in Germany.