4 ms·
Roads are non-rivalrous (to an extent). Meaning during off-peak times a private toll road would likely be under utilized if it were not regulated/subsidized. An
by xiler 6y ago
Roads are non-rivalrous (to an extent). Meaning during off-peak times a private toll road would likely be under utilized if it were not regulated/subsidized. Another reason is that if a road happens to be the shortest path between a populous area and an in-demand destination it would likely be something close to a natural monopoly. This could potentially lead to high prices, too many billboards, etc.
https://en.wikipedia.org/wiki/Rivalry_(economics) https://en.wikipedia.org/wiki/Rivalry_(economics)
https://en.wikipedia.org/wiki/Natural_monopoly https://en.wikipedia.org/wiki/Natural_monopoly
- webmaven 6y ago> Roads are non-rivalrous (to an extent). Meaning during off-peak times a private toll road would likely be under utilized if it were not regulated/subsidized. Arterial roads may be non-rivalrous in the same sense as the internet backbone, but the last mile to your home is definitely a natural monopoly for both roads and ISPs. How would you feel about ubiquitous toll roads that start at the end of your driveway?