Cars in Singapore are expensive
And now you know that too.
And so do the cast of Fast and Furious 6.*
Car prices in Singapore can be attributed to one very basic policy move: Artificial restriction of supply. So, wonky question for the league: If you’re the mayor of a big city, how would you handle traffic congestion?
My own two cents is that we can do better by making people pay at the margins than in a lump sum in the beginning. Traffic is particularly heavy in the morning and evening rush hours. What we could do is double or even quadruple the ERP charge** for using a road but then auction permits that reduce or waive the toll over a selected set of hours. Different people would select a different band of hours depending on their needs. This way, we can lowe restrictions in supply and spread out car usage throughout the day and reduce the incidence of traffic jams.
*Is it me or do cast seem incapable of extrapolating?
**which is basically a usage toll