Traffic

When too much water is poured through a funnel, some will spill over. When too many cars pour on to the road, there will be congestion. Economists recommend charging toll to solve congestion. Can toll also prevent the spillover of water?

If road users are willing to pay toll because of congestion, roads should be made bad, broken, or negative. Then, toll can be skyrocket high. No wonder they set the speed limit on highways: to create congestion and to collect toll.

Another theory says that road users should pay highway toll, for highway saves their time, and time is money. Again, authorities should first destroy all existing roads, to make the saving look highest. Of course, they should also set speed limit on the new highway, and make it bad, broken and negative.

A further theory says that roads have economies of scale, so their operation should be monopolized, but the persistent loss of many such SOE’s negates this “natural monopoly” rationale.

This book rewrites all the traffic theories.