Do you live in the city with the worst traffic?
Boston has the worst traffic congestion in the nation. Commuters there spend an average of 164 hours a year going nowhere, which costs $2,291 in lost time. Nationwide, commuters spend an average of 97 hours a year stuck in traffic at an average cost of $1,348 per motorist. What is the externality described in the news clip? How could road tolls and high parking levies reduce congestion on the nation’s roads? If road tolls and parking charges cut commute times, would the highway system be more efficient? Explain your answers.