Carpooling and the Economics of Self-Driving Cars

Research Seminars

In the paper presented in this Virtual Market Design Seminar, the authors study the interplay between autonomous transportation, carpooling, and road pricing. They discuss how improvements in these technologies, and interactions among them, will affect transportation markets. Their main results show how to achieve socially efficient outcomes in such markets, taking into account the costs of driving, road capacity, and commuter preferences. An important component of the efficient outcome is the socially optimal matching of carpooling riders. The authors' approaches show how to set road prices and how to share the costs of driving and tolls among carpooling riders in a way that implements the efficient outcome.








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