We assess the welfare effects of highway privatization accounting for government's behavior in setting the sale price, firms' strategic behavior in setting tolls, and motorists' heterogeneous preferences for speedy and reliable travel. We find motorists are able to benefit from privatization by...

We assess the welfare effects of highway privatization accounting for government's behavior in setting the sale price, firms' strategic behavior in setting tolls, and motorists' heterogeneous preferences for speedy and reliable travel. We find motorists are able to benefit from privatization by...

Travelers and airlines are frustrated by long and costly travel delays at public airports that are attributable to runway charges that do not account for aircraft congestion. Because the inefficient charges are likely to persist, we explore whether private airport competition could lead to more...