Special Friday Seminar: Marco Nie "From Pricing to Cap-and-Trade"


This week's TRANSOC Friday Seminar is at a special time - 11:00am - noon in 534 Davis. This week Northwestern University Associate Professor Yu (Marco) Nie will present on a cap-and-trade approach to congesiton management in "From Pricing to Cap-and-Trade: Analysis and Design of Quantity-based Approach to Congestion Management."

Traffic congestion continues to threaten economic prosperity and quality of life around the world. It is widely acknowledged that demand management is an indispensable ingredient in the recipe for solving the traffic congestion puzzle, and likely to be one of the more effective and cost-efficient if properly implemented. This research will explore a new and promising travel demand management strategy, inspired by various cap-and-trade schemes aiming to reduce greenhouse gas and air pollutant emissions. The cap-and-trade schemes considered in this research seek to couple direct travel demand restriction with a trading mechanism. Because such a scheme typically involves creating mobility credits and trading them in a market, it is also known as tradable credit scheme. In this talk we will examine a few key design issues involved in building such credit markets, including how to account for the effects of transaction cost and how to initially allocate credits, using various analytical models.

As noted above, the seminar is happening this Friday, October 25 2013, from 11:00am to noon in 534 Davis. We'll keep you posted about Cookie Hour.