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Traffic congestion is one of the most challenging issues of urban agglomeration. Congestion costs are often higher than their socially optimal levels, and little is known about the key parameters needed to design optimal congestion policies. This paper addresses this issue by exploiting an...
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-- Recent Developments -- Summary and Prelude -- II: A Theory of Involuntary Transfers -- Three Kinds of Jointness -- Defensive …
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-intuitive grid congestion externalities. We derive the conditions under which negative network externalities due to power trades … externalities suggest that new investments in the electric grid infrastructure cannot be made piecemeal. In our example, power … economic challenge is regions facing externalities do not always have the financial ability to invest in infrastructure. Power …
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