Tackling Traffic Congestion: Interactive Data Response Questions
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Market Failure
Instructions: type your answer to the question in the appropriate box and then click on explain
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How can the information below be used to help estimate the external costs of transport?
Total estimated Annual External Cost by Transport Type, 2000
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£ bn |
| Cars & motorcycles |
153.1 |
| Buses / freight |
53.5 |
| Rail (passenger and freight) |
3.8 |
| Aviation (buses and freight) |
13.2 |
| Ships |
0.6 |
These figures have been adapted by Biz/ed for educational purposes to ensure clarity.
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Estimated: Year 2000 (These figures have been adapted by Biz/ed for educational purposes to ensure clarity)
Estimated: Year 2000 (These figures have been adapted by Biz/ed for educational purposes to ensure clarity)
With reference to the data, discuss the differences between vehicle excise duty and the duty on fuel.
Examine two policies, other than the use of the taxes shown, which aim to reduce the costs of transport to the environment.
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