Answered
In London,any motorist entering a particular area in the city center during certain specified times must pay a congestion fee equal to £11.50 per day,with fines for noncompliance rising to as high as £130.The congestion fee is:
A) a Pigouvian subsidy aimed at encouraging the use of city streets.
B) an attempt to internalize the costs of traffic delays and congestion.
C) the wrong policy tool for solving the problem of congestion;instead,motorists should be allowed to make deals to determine when and where they are permitted to drive.
D) likely to cause marginal private benefit from road use to decrease.
On May 04, 2024