Abstract
For low-carbon society, it is necessary to set a political target for CO2 reduction from commuter traffic and to introduce the new system for realizing the target. In this paper, Baumol-Oates tax is picked up as one of the social technologies for CO2 reduction, and a new operational urban model is proposed for the management of land-use and transport demand in a city. These model parameters are estimated in Nagoya Metropolitan area and it is cleared how to manage land-use and transport demand in order to realize the target for CO2 reduction. As the result of this analysis, it is shown that 1) transport cost is especially increased in suburb, 2) many households move to the city center and 3) in city center, land price is increased and utility of workers in city center is decreased.