It is widely recognised that congestion pricing could be an effective measure to solve environmental and congestion problems in urban areas—a reform that normally also would generate a net welfare surplus. Despite this the implementation of congestion pricing has been very slow. One reason for a low public and political acceptance could be that equity impacts have not been given enough concern. In studies of distributional impacts of congestion pricing it has often been claimed that the reform is regressive rather than progressive even if there are studies claiming the opposite. We develop a method for detailed, quantitative assessment of equity effects of road pricing and apply it to a real-world example, namely a proposed congestion-charging scheme for Stockholm. The method simultaneously takes into account differences in travel behaviour, in preferences (such as values of time) and in supply of travel possibilities (car ownership, public transport level-of-service etc.). We conclude that the two most important factors for the net impact of congestion pricing are the initial travel patterns and how revenues are used. Differences in these respects dwarf differences in other factors such as values of time. This is accentuated by the fact that the total collected charges are more than three times as large as the net benefits. With respect to different groups, we find that men, high-income groups and residents in the central parts of the city will be affected the most. If revenues are used for improving public transport, this will benefit women and low-income groups the most. If revenues are used for tax cuts, the net benefits will be about equal for men and women on the average, while it naturally will benefit high-income groups. Given that it is likely that the revenues will be used to some extent to improve the public transport system, we conclude that the proposed congestion-charging scheme for Stockholm is progressive rather than regressive.

For some decades now, transport researchers have put considerable efforts into developing what is called activity-based approaches for modelling urban travel demand. The basic idea is that travel demand is derived from people's desires to take part in different activities. In particular, the interrelationships among different activities with respect to temporal and spatial constraints are in focus. It means that such models treat the activities and the travelling of the households with respect to where and when the activities can be carried out and how they may be scheduled, given characteristics of the households and potential opportunities, the transport networks and various institutional constraints. We discuss what demands we see on future travel demand models, with a focus on urban analysis. This discussion is somewhat biased towards what role activity-based models could play in meeting these demands. We then review in some detail three prominent and distinctly different representatives of operational activity-based models to give an indication of what new modelling possibilities they offer. Theoretical appeal, empirical validity, usefulness for planning, need for data and easiness of implementation are discussed. In the final section we draw some conclusions about the prospects of these models and of their descendants.

The effects of road pricing on transport and location patterns have been much discussed. However, it is unclear how large the effects are, and whether relocation of households, workplaces and shops will counteract or amplify the effects on transport. In this paper a model of a generic symmetric city is developed. The model is used to investigate the effects of road pricing in the form of congestion pricing and a toll ring. The results indicate that the impacts on location are small compared to the impacts on traffic volumes, modal split, and trip distances. The different effects of congestion pricing and toll rings at different positions are considered.

We develop a model for integrated analysis of household location and travel choices and investigate it from a theoretical point of view. Each household makes a joint choice of location (zone and house type) and a travel pattern that maximizes utility subject to budget and time constraints. Prices for housing are calculated so that demand equals supply in each submarket. The travel pattern consists of a set of expected trip frequencies to different destinations with different modes. The joint time and budget constraints ensure that time and cost sensitivities are consistent throughout the model. Choosing the entire travel pattern at once, as opposed to treating travel decisions as a series of isolated choices, allows the marginal utilities of trips to depend on which other trips are made. When choosing trip frequencies to destinations, households are assumed to prefer variation to an extent varying with the purpose of the trip. The travel pattern will tend to be more evenly distributed across trip ends the less similar destinations and individual preferences are. These heterogeneities of destinations and individual preferences, respectively, are expressed in terms of a set of parameters to be estimated.