Events & Media: Juan Pablo Montero

The Bren School of Environmental Science & Management
at the University of California, Santa Barbara



"The Effect of Transport Policies on Car Use:
Theory and Evidence for Latin American Cities"

Juan Pablo Montero
Professor of Economics
Pontificia Universidad Católica de Chile

Thursday, Feb. 9, 2012
4:00 - 5:00 p.m.
Bren Hall 1424

"Juan Pablo Montero is one of the world's foremost environmental economists. He has worked on cap- an-trade systems designed to control air pollution, and to enhance the effectiveness of other emissions-control efforts. He is visiting the Bren School during the month of February." — Gary Libecap, host

In an effort to reduce air pollution and congestion, Latin American cities have experimented with different policies to persuade drivers to give up their cars in favor of public transport. Two notable examples are the driving restriction program introduced in Mexico-City in November of 1989 — Hoy-No-Circula (HNC — and the public transport reform carried out in Santiago in February of 2007 — Transantiago (TS). We develop a simple model of car ownership and show that policies that may appear effective in the short run can be highly detrimental in the long run, i.e., after households have adjusted their stock of vehicles. Based on hourly concentration records of carbon monoxide, which comes primarily from vehicles exhaust, we find that households' response to both HNC and TS have been remarkably similar and consistent with the above: an expected short-run response followed by a rapid (before 11 months) increase in the stock of vehicles.

Juan-Pablo Montero holds a degree in civil engineering degree from PUC and MSc and PhD degrees from the Massachusetts Institute of Technology. He has also been a visiting professor at the MIT Sloan School of Management (2001-2002) and the Harvard Kennedy School of Government (2005-2006). His research and teaching are concentrated in the areas of resource and environmental economics and industrial organization. His work has appeared in the Journal of Political Economy, American Economic Review, Journal of Economic Theory, RAND Journal of Economics, The Economic Journal, and others. He has also been a consultant in antitrust and environmental policy for government agencies and private corporations in Chile and abroad.

NOTE: Research colloquia are hosted by Bren faculty members and are generally high-level talks about research in a particular area of environmental science and management.


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