Explain why the following alternative policies for reducing traffic congestion may be unlikely to produce the optimum level of traffic for eliminating the congestion externality. To guide your discussion, for each policy, you can focus on whether or not it affects: (1) modal substitution; (2) choice of departure time; (3) route choice; and (4) location of residence choices. You could also discuss implementation difficulties or compliance issues.

a) Odd-Even License Plate Policies

b) HOV Lanes

c) Gasoline Taxes