What question did this study set out to answer?

To analyze the pricing of rail infrastructure and investment strategies for both rail and road.

February 28, 2026

Second-Best Problems in Railway Infrastructure Pricing and Investment

Puntos clave

To analyze the pricing of rail infrastructure and investment strategies for both rail and road.
Analyzed pricing structures for rail infrastructure use.
Evaluated optimality conditions for investment in rail and road.
Assessed the relationship between pricing and marginal costs.
Under most circumstances, rail charges should be set below marginal costs.
Investment levels in both rail and road should be reduced.

Resumen

This paper analyses optimal pricing of rail infrastructure use, and optimality conditions for rail and road investment. It is demonstrated that under most circumstances rail charges should be below marginal costs and that investments in both modes should be reduced.

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Cite This Study

J.-E. Nilsson (Tue,) studied this question.

synapsesocial.com/papers/69a286950a974eb0d3c01b1b https://doi.org/https://doi.org/10.3828/jtep.1992.26.3.245

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