A Direct Monte Carlo (DMC) approach is introduced for posterior simulation in theInstrumental Variables (IV) model with one possibly endogenous regressor, multipleinstruments and Gaussian errors under a flat prior. This DMC method can also beapplied in an IV model (with one or multiple...

One of the debates in the capital budgeting model selection is between the free cash flow and DCF methods. In this paper an attempt is made to compare SVA against NPV model based on Monte Carlo simulations. Accordingly, NPV is found less sensitive to value driver variations and has got higher...

This paper discusses a number of issues that will become increasingly important nowthat the concept of marginal external cost pricing becomes more likely to be implementedas a policy strategy in transport in reality. The first part of the paper deals with thelong-run efficiency of marginal...

This paper studies the second-best problem where not all links of acongested transportation network can be tolled. The second-best taxrule for this problem is derived for general static networks, so thatthe solution presented is valid for any graph of the network, and forany set of tolling...

For several decades growth of traffic volumes has outstrippedinvestments inroad infrastructure. The result has been a relentless increase intrafficcongestion. This paper reviews the economic principles behindcongestionpricing in static and dynamic settings, which derive from thebenefits...

This paper considers the second-best problem where not all links of a congested transportation networkcan be tolled. The paper builds on earlier work, in which the second-best tax rule for this problem wasderived for general static networks, so that the solution presented is valid for any graph...

In this paper, a dynamic model of road traffic congestion is presented, with an elastic overall demand for morning peak road usage, and with the congestion technology used being 'flow congestion'. It is demonstrated that in such a case, the optimal time-varying toll should include a 'flat',...

In this paper, we investigate congestion caused by differences in desired or possible speeds. Especially outside peak hours, speed differences are probably one of the most important reasons for congestion. Although the model setting, with one lane and no overtaking, may seem simple at first...