TY  - BOOK
AU  - Arnott,Richard
AU  - Kraus,Marvin
ED  - National Bureau of Economic Research.
TI  - The Ramsey Problem for Congestible Facilities
T2  - NBER technical working paper series
PY  - 1994///
CY  - Cambridge, Mass.
PB  - National Bureau of Economic Research
N1  - May 1994; Hardcopy version available to institutional subscribers
N2  - In recent years, a new set of models drawing on Vickrey [1969] has been developed to analyze the economics of congestible facilities. These models are structural in that they derive the cost function from consumers' time-of-use decisions and the congestion technology. Standard models, in contrast, simply assume the general form of the cost function. We apply the new approach to analyze the Ramsey problem for a congestible facility, and show that the solution generally entails cost inefficiency. Standard models have failed to reveal this result because they treat the cost function as completely determined by technology
UR  - https://www.nber.org/papers/t0084
UR  - http://dx.doi.org/10.3386/t0084
ER  -