2 ms·
There are two components to the price of driving: 1. The congestion charge, if it exists 2. The opportunity cost of the time taken It's plausible to me that
by RobinL 2y ago
There are two components to the price of driving:
1. The congestion charge, if it exists
2. The opportunity cost of the time taken
It's plausible to me that whilst total cars will go down (supply and demand) you may get more high income customers (because they have a high opportunity cost of time) and hence some businesses may do better.
It's also not obvious it should increase costs of e.g. deliveries to businesses because the the delivery driver will spend less time waiting in traffic.
I wonder if any research is being done on either of these effects