CONGESTION TOLLING FORUNIFORMAND NONUNIFORMDEMAND CYCLES WHEN TOLL- REVENUE BENEFITS ARE DISCOUNTED

gued that public sector objectives may need to be modified when the revenue genera ted by price rationing induces wasteful, rent-seeking expenditures. The striking results derived from their pro-posed modification do not, however, ex-tend to the important class of congestible facilities. This paper explicitly models con-gestible facilities and shows that rent-seeking always dictates lower full-user-cost prices and tolls than those indi-cated by the conventional objective, but the surprising peak-load tolling possibili-ties suggested by Lee and Wilson still ap-ply. It is also shown that rationales for these results are more general than rent-seeking