Auto Restricted Zone versus price changes: a case study

This case study compares the Auto Restricted Zone Policy (ARZ) with price changes for parking permits in Louisiana State University (LSU). We find that ARZ has a more significant effect on the reduction in purchase of parking permits than price increases, albeit with a lag. We also find that while driving continues to be the primary mode of choice, a significant number of students are willing to adopt alternative means of transportation, if facilities associated with them are improved. Since LSU is fairly representative, we believe that this case study contains lessons for other universities in the country facing traffic congestion issues.