April 17, 2017 in Daily Bulletin
Tyler Cowen wrote about the economics of speedbumps:
- It’s weird that in today’s day and age, we’re using speedbumps – essentially stone aged technology – to regulate traffic.
- They’re a very public symbol that an area values safety over convenience.
- But they increase carbon emissions.
- They can also slow down the response of emergency vehicles, making their net contribution to public safety debatable.
- And cars sometimes swerve around them, or sharply accelerate after crossing one, possibly leading to more harm than good.
- So are speed bumps worth it? If they were then neighbourhoods that had them should have higher property values – since they were safer – than those that didn’t.
- Yet there is no clear evidence that speedbumps increase property values.
- But the private sector continues to invest in them, in places like mall parking lots. This indicates that there is a positive rate of return on speedbumps.
Read more on Bloomberg.