1. What are the implications for demand in the short and long r
... transportation is hard to quantify as there are many external costs not considered by an individual when calculating the marginal cost and benefit ratio before undertaking a journey (Parkin. 2000). These externalities include the cost of congestion, especially during peak periods adding to the cost of fuel and time to the journey, air pollution and its resulting effects upon both human health and the environment, noise pollution ... as the marginal benefit of making a journey would become greater than the marginal cost of the journey. Subsidising the creation and maintenance of a good roa...
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