Template-Type: ReDIF-Paper 1.0
Author-Name: Colin Green
Author-Name-First: Colin
Author-Name-Last: Green
Author-Name: John Heywood
Author-Name-First: John
Author-Name-Last: Heywood
Author-Name: Maria Navarro Paniagua
Author-Name-First: Maria
Author-Name-Last: Navarro Paniagua
Title: Traffic accidents and the London congestion charge
Abstract: In a rare effort to internalize congestion costs, London recently instituted charges for traveling by car to the central city during peak hours. Although the theoretical influence on the number and severity of traffic accidents is ambiguous, we show that the policy generated a substantial reduction in both accidents and fatalities in the charged area and hours. At the same time, the spatial, temporal and vehicle specific nature of the charge may cause unintended substitutions as traffic and accidents shift to other proximate areas, times and to uncharged vehicles. We demonstrate that, to the contrary, the congestion charge reduced accidents and fatalities in adjacent areas, times and for uncharged vehicles. These results are consistent with the government's objective to use the congestion charge to more broadly promote public transport and change driving habits.
Creation-Date: 2014
File-URL: http://www.lancaster.ac.uk/media/lancaster-university/content-assets/documents/lums/economics/working-papers/LondonCongestionCharge.pdf
File-Format: application/pdf
Number: 66110088
Classification-JEL: I18, R48, H27
Keywords: Traffic Congestion, Pricing, Vehicle Accidents
Handle: RePEc:lan:wpaper:66110088