Tradable credits for managing car travel: a review of empirical research and relevant behavioural approaches

Abstract

Recently, there has been a surge of interest in Tradable Credits (TC) as an alternative measure to manage the growth of personal car use. This paper summarises the results and methodologies of studies that have sought to anticipate the behavioural responses to several proposed TC schemes that target personal travel. In a critical reflection on this work and in an attempt to inspire future research, we argue that future empirical studies on TC behaviours can greatly benefit from insights from the fields of behavioural economics and cognitive psychology. Therefore, in the second part of the paper, we bring together behavioural concepts from these fields that are relevant in a TC decision-making context. Based on observations from current TC studies and the behavioural mechanisms identified in the second part of the paper, we propose promising directions for future research on understanding the impact of TC on personal car travel.

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