Nouriel Roubini, Professor of Economics and International Business at New York University's Stern School of Business | New York University's Stern School of Business
Nouriel Roubini, Professor of Economics and International Business at New York University's Stern School of Business | New York University's Stern School of Business
The concept of "gridlock" in New York City, although first appearing in print during a 1980 transit strike, has been an issue since the advent of the Model T Ford. Over the years, various solutions have been proposed to address Manhattan's traffic congestion, including toll-supported highways and expressways, but many plans were ultimately abandoned.
The latest initiative to tackle this problem is congestion pricing. New York Governor Kathy Hochul implemented this policy on January 5, 2025. It involves charging motorists $9 to enter Manhattan below 60th Street during specific hours on weekdays and weekends.
Opponents from suburban areas argue that the policy impacts their finances and could lead to inflationary effects due to increased tolls on trucks delivering goods. They also raise concerns about potential air pollution from drivers seeking parking outside the congestion zone.
Supporters hope that this policy will generate significant revenue for upgrading the city's subway and bus systems while reducing street traffic. Sarah M. Kaufman from NYU's Rudin Center for Transportation Policy notes that initial results show mixed outcomes: "early signs point to success," she says.
Kaufman's report highlights a 7.5% reduction in traffic and improved flow across bridges and tunnels. However, she cautions that January is typically less busy and suggests reassessing in spring when commuting patterns change.
To maximize benefits, Kaufman suggests rethinking curb space usage by converting street parking into loading zones for delivery trucks and ride-hail vehicles. This could reduce disruptions and improve traffic flow.
While some increased traffic is noted in boroughs outside Manhattan, similar adjustments were observed in other cities with congestion pricing like London and Stockholm. These cities experienced initial skepticism but gained public support as benefits became apparent.
Despite opposition from officials in New Jersey, Westchester, and Long Island, there is potential for improved transit options such as light rail or express bus services for suburban commuters.
Kaufman states that "it seems to be working largely as expected" with shorter commutes reported despite political opposition. For long-term success, tangible improvements from congestion pricing revenue are necessary for continued public support.