Subsidies for Intracity and Intercity Commuting

Borck R, Wrede M (2009)


Publication Language: English

Publication Type: Journal article

Publication year: 2009

Journal

Publisher: Elsevier

Book Volume: 66

Pages Range: 25-32

DOI: 10.1016/j.jue.2009.02.003

Abstract

This paper analyzes subsidies for intracity and intercity commuting in an urban economics framework with two cities and agglomeration externalities, where workers may commute within and between cities. First, commuting subsidies serve to internalize agglomeration externalities: intracity commuting subsidies give incentives to move to the larger city and intercity commuting subsidies make residents of the periphery commute to the core. Second, if agglomeration rents are locally captured, commuting subsidies act as a welfare enhancing transfer from the core to the periphery. © 2009 Elsevier Inc. All rights reserved.

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How to cite

APA:

Borck, R., & Wrede, M. (2009). Subsidies for Intracity and Intercity Commuting. Journal of Urban Economics, 66, 25-32. https://doi.org/10.1016/j.jue.2009.02.003

MLA:

Borck, Rainald, and Matthias Wrede. "Subsidies for Intracity and Intercity Commuting." Journal of Urban Economics 66 (2009): 25-32.

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