Understanding how drivers respond to fuel price changes has important implications for highway congestion, accidents, carbon policy, local air pollution and taxation. We examine the underexplored relationship between fuel prices and carpooling. Using a simple theoretical model we show that...

We examine carpooling and driver responses to fuel price changes. Using a simple theoretical model, we show that traffic flows in mainline lanes unambiguously decrease when fuel prices increase, and this effect is stronger when the presence of a carpool lane provides a substitute to driving...

Understanding how drivers respond to fuel price changes has important implications for highway congestion, accidents, carbon policy, local air pollution and taxation. We examine the under-explored relationship between fuel prices and carpooling. Using a simple theoretical model we show that...