Accident Cost, Speed and Vehicle Mass Externalities, and Insurance
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Traffic accidents are a human tragedy that kills 1.2 million people worldwide annually (World Health Organization, 2004). The cost of traffic accidents are huge and recent estimates for US alone suggest the cost to be USD 433 billion in year 2000 or 4.3 percentage of GDP (Parry et al, 2007). A reduction of this cost can be done in two ways, either...
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