On this episode of the price is right, a city of more than 8 million people tries to determine the most effective cost for driving in a dense part of its downtown.
With the state of New York on board with the city of New York's plans to enact congestion pricing, also known as cordon pricing, in a swath of Manhattan below 61st Street, the challenge facing the city now is to determine the right price for the privilege of driving.
"A new report from New York City’s Regional Plan Association, titled 'Congestion Pricing in NYC: Getting It Right,' aims to figure out how much of a fee will reduce exactly how much traffic," according to an article by Jessica Klein.
Another important consideration in setting the price is how much money the fee will generate for public transit, as required by state law.
"The report doesn’t make a recommendation on which price to use, but it does argue that the charge should vary based on vehicle size and time of day, that taxis should be exempt, and that the government should adopt goals for traffic reduction and then adjust the cost to hit those numbers," according to Klein.
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