This paper offers a stylized model in which an agency is in charge of investing in road capacity and maintain it but cannot use the capital market so that the only sources of funds are the toll revenues. We call this the strict self-financing constraint in opposition to the traditional self...

Traditional cost-benefit models of investments in road infrastructure are often based on demand curves assuming a given spatial distribution of jobs and households. We first use numerical experiments based on a spatial general equilibrium model to illustrate how this potentially introduces a...