Congestion pricing The basic observation The congestion costs due to any specific user have 2 components: (1)Cost of delay to that user(internal cost) (2) Cost of delay to all other users caused by that user (external cost) At congested airports(and congested facilities, in general) this second component can be very large A congestion toll can be imposed to force users to experience this cost component (to internalize the external costs"Congestion pricing: The basic observation • The congestion costs due to any specific user have 2 components: (1) Cost of delay to that user (internal cost) (2) Cost of delay to all other users caused by that user (external cost) • At congested airports (and congested facilities, in general) this second component can be very large • A congestion toll can be imposed to force users to experience this cost component (to “internalize the external costs”)