Principles of the toll roads pricing

• Autorzy: Jaworski P. , Liberadzki K. , Liberadzki M.

Identyfikatory

DOI

10.5604/01.3001.0012.0941

• Języki publikacji: EN

Abstrakty

EN

In this paper the authors refer to the method of commercial provision of road infrastructure called BOT (build-operate-transfer) under Public-private partnerships (PPPs) scheme. First we present the investment criteria for transportation PPP projects as well as application of price theory. Then we recognize that the different participants in PPP projects have distinct goals and requirements that must be met in order for them to be able to participate in an effective partnership. The main challenge for the toll road pricing is to determine the economically viable toll rate that takes into consideration the diverse and sometimes conflicting interests of different stakeholders involved in the project. The main objective is to review the theory of economic principles for optimal toll roads pricing and to review the existing approaches to transportation projects appraisal. Then the authors show how to formally derive the condition for toll rate that meets 2 criteria: 1) is socially optimal and 2) covers operator’s costs. For this purpose we use II type Tőrnquist function, a member of an Engel family of functions. This function models the relationship between income and consumption of inferior and normal goods. Tőrnquist function is a mathematical representation of the well-known Engel curves. These curves record the relationship between the quantity of goods purchased and total income. They are not necessarily straight lines. The demand for some “luxury” goods may increase proportionally more rapidly than income, whereas the demand for “necessities” may grow proportionally less rapidly than income. The precise shape will depend on the individual’s preferences for goods as reflected in the indifference curve map. We deem the highway trip to be a “second necessity good”. There is number of economists who apply the Tőrnquist function for microeconomic analysis. The extremely simple form of the Tőrnquist function allows to get the solution in a closed form.

Słowa kluczowe

EN

transportation; PPPs projects; public-private partnership; toll roads; Engel curves; Tőrnquist function

PL

transport; projekt PPP; partnerstwo publiczno-prywatne; drogi płatne; krzywe Engla; funkcja Tőrnquist

• Wydawca: Warsaw University of Technology, Faculty of Transport
• Czasopismo: Archives of Transport
• Rocznik: 2018
• Tom: Vol. 45, iss. 1
• Strony: 53--62
• Opis fizyczny: Bibliogr. 29 poz., wykr., wzory

Twórcy

autor

Jaworski P.

• University of Warsaw, Institute of Mathematics, Warsaw, Poland

autor

Liberadzki K.

• Warsaw School of Economics, Institute of Finance, Warsaw, Poland

autor

Liberadzki M.

• Warsaw School of Economics, Institute of Finance, Warsaw, Poland

Bibliografia

• [1] ADLER, H., A., 1997. Economic appraisal of transport projects. Maryland: The Johns Hopkins University Press.
• [2] AREFJEVS, I., VOLKOVA, T., & LIN-DEMANE, M., 2013. Defining the market potential by assessing growth and saturation in the private life and pensions industry. Oeconomia Copernicana, (4), 19-44.
• [3] ARNOTT, R., KRAUS, M., 2003. Principles of transport economics, in Hall, R.,W. (ed.) Hand-book of transportation science, Dordrecht: Kluwer Academic Publishers.
• [4] BERECHMAN, J., & PINES, D., 1991. Financing road capacity and returns to scale under marginal cost pricing. Journal of Transport Economics and Policy, 25(2), 177.
• [5] BERIA, P., MALTESE, I., MARIOTTI, I., 2012. Multicriteria versus cost benefit analysis: A comparative perspective in the assessment of sustainable mobility. European Transport Research Review, 4(3), 137-152. DOI: http://dx.doi.org/10.1007/s12544-012-0074-9.
• [6] CARBONARA, N., COSTANTINO, N., PELLEGRINO, R., 2016. Designing the tendering process in PPP: A transaction cost-based approach. in ROUMBOUTSOS, A. (ed.) Public Private Partnerships in Transport. Abingdon, New York: Routledge.
• [7] CARBONARA, N., DOMINGUES, S., GUNNIGAN, L., PANTELIAS, A., PELLEGRINO, R., VANESLANDER, T., 2016. Improving PPP decision-making processes: A decision support framework. in: ROUMBOUTSOS, A. (ed.) Public Private Partnerships in Transport. Abingdon, New York: Routledge.
• [8] CARBONARA, N., SUÁREZ-ALEMÁN, A., ROUMBOUTSOS, A., 2016. The transport PPP market: Strategic investors, in ROUMBOUTSOS, A. (ed.) Public Private Partner-ships in Transport, Abingdon, New York: Routledge.
• [9] DEMIR, E., HUANG, Y., SCHOLTS, S., VAN WOENSEL, T., 2015. A selected review on the negative externalities of the freight transportation: Modeling and pricing. Transportation Research. Part E: Logistics & Transportation Review, 77, pp. 95-114.
• [10] DE RUS, G., & SOCORRO, M. P., 2014. Access pricing, infrastructure investment and intermodal competition. Transportation Research. Part E: Logistics & Transportation Review, 70, pp. 374-387.
• [11] EUROPEAN COMMISSION, 2008. Guide to Cost Benefit Analysis of Investment Projects. Available online at: http://ec.europa.eu/regional_policy/sources/docgener/guides/cost/ guide2008_en.pdf.
• [12] ERGAS, H., 2009. In defence of cost-benefit analysis. Agenda : A Journal of Policy Analysis and Reform, 16(3), pp. 31-40.
• [13] GEORGE, T., HWANG, C., 2010. A resolution of the distress risk and leverage puzzles in the cross section of stock returns. Journal of Financial Economics, 96, pp.56-79.
• [14] GREENE, D. L., JONES D. W., DELUCCHI, M. A. (Eds.). 1997. The full costs and benefits of transportation: Contributions to theory, method and Measurement, Heidelberg: Springer Verlag.
• [15] GORYL, A., JĘDRZEJCZYK, Z., KUKUŁA K., OSIEWALSKI J., & WALKOSZ, A., 2000. Wprowadzenie do ekonometrii. Warszawa: PWN.
• [16] GRUSZCZYŃSKI M., PODGÓRSKA M. (red.), 1996. Ekonometria, Oficyna Wydawnicza SGH.
• [17] HIRSHLEIFER, J., 1984. Price theory and applications, Englewood Cliffs: Prentice Hall.
• [18] IOSSA, E., 2015. Contract and procurement de-sign for PPPs in highways: the road ahead. Economia e Politica Industriale, 42(3), pp 245-276.
• [19] IOSSA, E. MARTIMORT, D., 2015. The Simple Microeconomics of Public-Private Partner-ships. Journal of Public Economic Theory, 17, pp. 4–48. DOI: 10.1111/jpet.12114
• [20] IZQUIERDO R., VASSALLO J., M., 2002. Tolls on Interurban Road Infrastructure: an Economic Evaluation., Paris: European Conference of Ministers of Transport.
• [21] KUBICOVÁ, L., LUŠŇÁKOVÁ, Z., 2010. Consumer foodstuffs demand and income standard development in the households of Slovakia. Acta Universitatis Agriculturae et Silvi-culturae Mendelianae Brunensis, 58(3), pp. 99-106.
• [22] LIBERADZKI, M., 2014. Toll roads financing in the European Union, Kiev: National Transport University.
• [23] MEYER J. R., STRASZHEIM M. R., 1971. Techniques of transport planning. Volume one: Pricing and project evaluation. Washington: The Brookings Institution.
• [24] NICOLAE, D., PAU, V., JARADAT, M., ANDREICA, M. I., & DEAC, V., 2010, January. Mathematical model for forecasting and estimating of market demand. In Recent Advances in Applied Mathematics (ISBN: 978-960-474-150-2/ISSN: 1790-2769 (pp. 629-634).
• [25] NICHOLSON, W., 1983. Intermediate microeconomics and its application. Chicago: The Dryden Press.
• [26] ROTH, G., 1997. Roads in a market economy. Aldershot: Avebury Technical.
• [27] ROTH, G., 1987 The private provision of public services in developing countries, Oxford: Oxford University Press.
• [28] WILSON, G.W., 1980. Economic Analysis of Intercity Freight Transportation. Bloomington: Indiana University Press.
• [29] YANG, H., XUU, W., HEYDECKER, B., 2010. Bounding the efficiency of road pricing. Transportation Research. Part E: Logistics & Transportation Review, 46(1), pp. 90-108.

Uwagi

PL

Opracowanie rekordu w ramach umowy 509/P-DUN/2018 ze środków MNiSW przeznaczonych na działalność upowszechniającą naukę (2018).