There are many studies on the Area Licensing Scheme in Singapore.One of the debatable issues is whether or not the congestion toll of3dollar is too high. The main objective of this paper is to develop asimple method for estimatig the congestion toll by directly using thecommonly availably traffic count data our sensitivity analysis, weuse three different scenarios on the choice of the value of traveltime savings and four different measures of average wage rates (thenational average wage rate the average wage rate for car owners withor without taking into consideration of employment benefits, and theaverage wage rate per car derived from the average occupancy percar). The sensitivity analysea led to a general by 1990, the 3dollarfee was not too high. We also highlight the fact that it is possibleto iterate to the optimal congestion toll by comparing thetheoretical congestion toll with the actual toll even when the demandcurve is unknown.
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