Charles Explorer logo
🇬🇧

Environmental and economic impacts of height of public transport fares and taxation of fuel: Case study for largest Czech cities.

Publication |
2007

Abstract

The increase in transport volumes in cities is followed by several social costs: costs of air pollution (health impacts), congestions, accidents, and others. These costs can be regulated using pull and push instruments.

This article analyzes economic and environmental impacts of selected ´pull´ and ´push´ instruments using neoclassical methodology. A simulating model is calibrated for five largest cities in the Czech Republic.

The simulation results suggest that ´pull´ strategies are quite ineffective: low prices of the public transport in cities will not bring any substantial decreases in emission costs from transport and they can even bring higher demand for subsidies to public transport providers.