The elasticity of demand on urban highways: The case of Santiago

This study examnines he relevant vvaiabes on urban highways in antiago de Chile. The objective is to contribute to the knowledge o the elasticity ofthe flow on highways in les, developed nations, bearing in mind that existing stadies tend to focus on European countries and the United States. Using pane data models and five-year inforation frot Autopista Centra in Santiago, we study the elasticity oftolls, gasoline price, diesel price, and economic activity The results indicate that economic growth is the primaty vaiable that explains the increase in flows, which has brought a sustained rise in the country'snotorization late. When distingUishing economic activity between mining and otlier sectois, it is observed that the elevant activity in Santiago is not mining. Additionally the flow is inelastic to the toll rate in the short tern, while elasticity increases in the long remi. The flow is inelastic with respect to fIel prices but less so than toll tariffs.