why might a government want to tax its freeways Looking at it in a economic efficent point of view?
2006-11-28 18:51:24 · 2 answers · asked by need help 1 in Social Science ➔ Economics
Because then people who have more money than time will pay to use the freeways, and people who have more time than money will queue on the ordinary roads. Congestion is a cost to economic efficiency (wastes precious time) but in big cities if you try to solve the problem by building more roads they just fill up (examples include the M25 round London and I-5 through Los Angeles). To charge people to use the freeways enough to keep them flowing freely means that people who want to "effectively demand" fast movement can buy it.
2006-12-01 01:18:31 · answer #1 · answered by MBK 7 · 0⤊ 0⤋
Public roads should be used freely, for that are payed taxes, for their construction and maintenance. Probably for the highway is should be taxed supplementary because they probably have bigger expends which would be wrong to be paid by everyone, even they do not use those ways.
2006-11-29 03:09:51 · answer #2 · answered by Mircea 2 · 0⤊ 1⤋