The slow road from rhetoric to reform: an analysis of road pricing policy in Australia

Economic Papers (Economic Society of Australia), March, 2004 by Richard Denniss, Clive Hamilton

(1) These costs are based on the additional travel time associated with congestion not with the total travel time which reflect individual housing decisions.

(2) None of the studies include estimates of the loss of amenity values due to road construction. Given the intensity of community opposition to certain road proposals the amenity costs could be substantial.

(3) This has a number of other benefits including: eliminating any financial advantage from failing to register or obtain third-party insurance; and, charging insurance on a more equitable basis.

(4) Grossed-up is a term used in relation to fringe benefits. The taxable value of a fringe benefit is 'grossed-up' to ensure that the amount of tax paid on a fringe benefit is the same as the tax paid if an employee receives cash salary which is taxed at the highest marginal tax rate plus Medicare levy.

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