Compact or Spread-Out Cities: Urban Planning, Taxation, and the Vulnerability to Transportation Shocks
Data
01.01.2007
01.01.2007
Autori
François Gusdorf, Stéphane Hallegatte
Codice JEL
R21,R48,H23,H31
R21,R48,H23,H31
Parole chiave:
Urban transportation,Housing,Inertia,Vulnerability,Transportation Taxation
Urban transportation,Housing,Inertia,Vulnerability,Transportation Taxation
Publisher
Economy and Society
Economy and Society
Editor
Gianmarco I.P. Ottaviano
Gianmarco I.P. Ottaviano
This paper shows that cities made more compact by transportation taxation are more robust than spread-out cities to shocks in transportation costs. Such a shock, indeed, entails negative transition effects that are caused by housing infrastructure inertia and are magnified in low-density cities. Distortions due to a transportation tax, however, have in absence of shock detrimental consequences that need to be accounted for. The range of beneficial tax levels can, therefore, be identified as a function of the possible magnitude of future shocks in transportation costs. These taxation levels, which can reach significant values, reduce city vulnerability and prevent lock-ins in under-optimal situations.