Abstract
In this paper, network equilibria under state-dependently varying road pricing are analyzed. Our focus are upon the informational role of road prices; road prices convey information about road states to drivers, if they are announced to drivers ex ante. We show that drivers' welfare improvement can be always made by variable road pricing under zero-balanced constraints, while the Pareto improvement of network equilibria can be achieved by levying Pigouvian variable road prices.
