Tuesday, July 03, 2007

E-Z Pass Economy, Electricity

NYT Article on the "Ez-pass economy": After an electronic system is put in place, tolls start rising sharply. Take two tollbooths that charge the same fee and are in a similar setting — both on highways leading into a big city, for instance. A decade after one of them gets electronic tolls, it will be about 30 percent more expensive on average than a similar tollbooth without it. There are no shortage of examples: the Golden Gate Bridge, the George Washington Bridge and the Tappan Zee Bridge, among them.

This is a great observation. I think an area where this principle exerts a bad effect is electricity--there is such a disconnection between consumption and billing that many people just don't internalize the value of turning off lights, let along replacing incandescent with CF, or easing up on the A/C.

No comments:

Post a Comment