Related papers: Beyond Pigouvian Taxes: A Worst Case Analysis
The paper develops a general methodology for analyzing policies with path-dependency (hysteresis) in stochastic models with forward looking optimizing agents. Our main application is a macro-climate model with a path-dependent climate…
Boundedly Rational User Equilibria (BRUE) capture situations where all agents on a transportation network are electing the fastest option up to some time indifference, and serve as a relaxation of User Equilibria (UE), where each agent…
In recent years, there is a growing research about queueing models with customers who choose their service durations. In general, the model assumptions in the existing literature imply that every customer knows his service demand when he…
Several authors have noted that in a non-regulated environment the development of public transport service is self-adjusting: Faced with a decreasing demand, operators will tend to reduce service to cut costs, resulting in a decrease in the…
This paper presents a dynamic model to study the impact on the economic outcomes in different societies during the Malthusian Era of individualism (time spent working alone) and collectivism (complementary time spent working with others).…
In this paper, we explore existing synergies between private and public transportation as provided by taxi and bus services on the level of individual trips. While these modes are typically separated for economic reasons, in a future with…
Two spatial equilibria, agglomeration and dispersion, in a continuous space core-periphery model are examined to discuss which equilibrium is socially preferred. It is shown that when transport cost is lower than a critical value, the…
Mobility is an indispensable part of modern human societies, but the dominance of motorized individual traffic (MIV, i.e., the private car) leads to a prohibitive waste of energy as well as other resources. Here we show that by combining a…
We introduce a highly stylized, yet non trivial model of the economy, with a public and private sector coupled through a wealth tax and a redistribution policy. The model can be fully solved analytically, and allows one to address the…
In this paper, we provide an integrated systems modeling approach to analyzing global externalities from a microeconomic perspective. Various forms of policy (fiscal, monetary, etc.) have addressed flaws and market failures in models, but…
Urban logistics is becoming more complicated and costlier due to new challenges in recent years. Since the main problem lies on congestion, the clean vehicle is not necessarily the most effective solution. There is thus a need to redesign…
In a traffic network, vehicles normally select their routes selfishly. Consequently, traffic networks normally operate at an equilibrium characterized by Wardrop conditions. However, it is well known that equilibria are inefficient in…
Our infrastructure systems enable our well-being by allowing us to move, store, and transform materials and information given considerable social and environmental variation. Critically, this ability is shaped by the degree to which society…
We study an Arrow-Debreu economy with externalities generated by multiplex networks. Market equilibrium prices reflect both the preferences and scarcity of goods, consumers' network centralities arising from goods' externalities, as well as…
The existing studies on consumer search agree that consumers are worse-off when they do not observe sellers' production marginal cost than when they do. In this paper we challenge this conclusion. Employing a canonical model of simultaneous…
Pigou's problem has many applications in real life scenarios like traffic networks, graph theory, data transfer in internet networks, etc. The two player classical Pigou's network has an unique Nash equilibrium with the Price of Stability…
In the context of nonlinear prices, the empirical evidence suggests that the consumers have cognitive biases represented in a limited understanding of nonlinear price structures, and they respond to some alternative perceptions of the…
This study examines the lack of redistributive effectiveness of consumption-based tax systems with respect to social fairness. Through numerical simulations, we explore the wealth exchanges among economic agents subject to flat consumption…
We propose a pseudo-market solution to resource allocation problems subject to constraints. Our treatment of constraints is general: including bihierarchical constraints due to considerations of diversity in school choice, or scheduling in…
Optimizing shared vehicle systems (bike/scooter/car/ride-sharing) is more challenging compared to traditional resource allocation settings due to the presence of \emph{complex network externalities} -- changes in the demand/supply at any…