The disutility of driving below the speed limit on highways

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Authors

FILIPI Nikol KARLÍNOVÁ Bára KRČÁL Ondřej

Year of publication 2022
Type Article in Periodical
Magazine / Source Národohospodářský obzor - Review of Economic Perspectives
MU Faculty or unit

Faculty of Economics and Administration

Citation
Web https://sciendo.com/article/10.2478/revecp-2022-0012
Doi http://dx.doi.org/10.2478/revecp-2022-0012
Keywords CO2 emissions; highway speed; voluntary climate action; survey experiment
Attached files
Description Reducing travel speed below the highway speed limit leads to savings in fuel consumption and CO2 emissions. However, car drivers may be reluctant to drive more slowly either because they do not want to lose time or for other reasons we refer to as ‘the disutility of driving at lower speeds’. In this paper, we use a survey experiment to isolate the disutility of driving at lower speeds by comparing drivers’ willingness to accept compensation for a fixed increase in travel time caused either by taking a longer route or by travelling at below-limit speeds. We show that Czech drivers require higher compensation for travelling at lower speeds than they require for the same travel time increment caused by a longer distance. This result represents the first piece of evidence showing that the disutility of driving at below-limit speeds on a highway is substantial and economically relevant.
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