Title: The independence of volume–capacity ratio of private toll roads in general networks
Abstract: In a general traffic network under some widely used assumptions, this paper proves that the level of service, represented by the volume–capacity (v/c) ratio, offered by a profit-maximizing private firm on a private toll road is independent of another competitor’s choice of capacity and toll rate for another private toll road. The v/c ratio will be the same as the one provided by a centralized welfare-maximizing traffic authority. Moreover, the ratio remains the same even in a regulated market where the authority imposes a cap for the generalized travel cost on the private toll road.
Publication Year: 2011
Publication Date: 2011-01-01
Language: en
Type: article
Indexed In: ['crossref']
Access and Citation
Cited By Count: 36
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