I know the footnotes in this piece don't currently work :( I pasted my write-up from a Google doc based on this guidance but it seems something broke in my attempt. If anyone here can help me figure out how to get those sorted, that'd be much appreciated!
Relatedly, two upfront notes I'd have liked to add toward the start but couldn't get to work as footnotes in the editor:
Note: Researching and writing this took far longer than I’d anticipated, which meant less rigor in my analyses and less feedback on drafts than I’d hoped for. As such, please feel especially welcome to point out corrections in the comments and I’ll do my best to engage and/or update the post accordingly. A huge thank you to David Schrank of TTI who met with me as I drafted this piece, and to Ben Schifman and Betzalel Newman for giving an early draft of this a quick read! All mistakes are my own.
For those of us who live in and around urban areas, one widely accepted and deeply loathed feature of daily life is the presence of significant automotive traffic. Whether a Monday morning commute to the office or a Friday afternoon exodus to the beach, (sub-)urbanites can and should expect a portion of their trip will be spent creeping along at a snail’s pace.
Like all aspiring effective altruists, I distinctly remember my first societal cost-benefit analysis. Circa middle school (~2005), I was in my mother’s minivan while she drove down the Capital Beltway (our gridlock extends beyond the halls of Congress). We were meandering along at 1/6th the speed limit until - suddenly - the results of a fender bender came into view. As we passed, the speed of traffic climbed back to an appropriate highway pace. In that moment I thought to myself - motivated purely by charitable impulse, I assure you - “they should have a tractor come, crush the offending cars, and shove them onto the grass. Even if we had to pay for the damaged cars it’d be better for all of us.”[1]

As it turns out, the average American commuter is delayed 50+ hours/year due to traffic. And this may just scratch the surface of the negative consequences of traffic congestion, which include:
But adding these all up, just how important a problem is traffic (I know, I know, you already saw the answer in the summary)? Is it something we can address (and who is already trying)? And is there any chance whatsoever my personal pet peeve here in the wealthier (urban) areas of the US could plausibly compete for Open Philanthropy’s attention and resources? I was unsure, but determined to put in the effort to research these questions and share my findings, independent of outcome. For the greater good. And my 12-year-old self. In equal measure.
As mentioned, the average US commuter loses ~50 hours/year due to traffic.[2] This no doubt reflects many family dinners missed and abbreviated nights of sleep, but more concretely - how much is 50 hours of commuters’ time worth? Thankfully there is a large literature on the topic of the value of (commuter) time, and - though I went down more rabbit holes than I care to admit - views seem to coalesce at about $20/hour[3] on the low end.
Across ~133M commuters,[4] this then represents ~6.7 billion hours[5] wasted at an implied cost of ~$133B annually. To put those numbers into context:
But in addition to excess travel time due to speeds at below-free-flow rates, there’s the aforementioned time that commuters spend sub-optimally due to uncertainty about congestion (the “I can’t be late to the airport” tax, if you will). This time has been described as the “Value of Reliability,” and seems to be roughly equivalent to the Value of Time[7] (again, I’m assuming ~$20/hour here). Unfortunately I didn’t come across any estimates of how much time is “spent” in this manner, nor did I find time to do my own back-of-the-envelope estimate,[8] so I’ll simply acknowledge it as another potentially meaningful negative knock-on effect of congestion.
Maintaining steady highway speeds is beneficial for fuel consumption because:

Because congestion reduces the pace of traffic and contributes to stop/start behavior (especially among eager commuters), it caused ~3.3 billion gallons of fuel to be “wasted” annually in the years leading up to COVID.[11] In dollar terms, this represents an incremental cost of almost $9B[12] (or nearly $14B at today’s fuel prices[13]).
TTI calculates that this wasted fuel caused by traffic congestion corresponds to an incremental 34.3 million tons of CO2 emissions, or ~5% of total automotive emissions.[14] They don’t provide an estimate for other pollutants, but based on the fuel consumed, nitrous oxides would contribute another ~0.2 million tons of “CO2e” (carbon dioxide equivalent).[15]
The cost of removing CO2 from the atmosphere seems to be… heavily debated? For removal from the atmosphere costs seem to be in the range of ~$600/ton, which would imply a total annual cost of over $20B to remove the excess emissions caused by congestion. However, highly effective abatement might be as cheap as $1/ton, in which case equivalent reduction would be a rounding error in the overall scale of this issue area.
TTI estimates what they call a “truck congestion cost” of ~$19B/year due to both delays and wasted fuel. Approximately 9% of this cost is in the form of wasted fuel which was already captured in the total “wasted fuel” above. The remaining ~$17B/yr represents incremental wasted or lost trucker time.
To summarize, traffic congestion in the US imposes annual costs of:
In total, then, traffic congestion imposes costs of $159B+ in the US each year, and that just from the “easily” quantified costs.
While the harms of congestion are in many ways readily evident, it bears reflecting on whether there are any benefits to congestion that could (even partially) offset these costs. Although this isn’t something I saw explicitly covered in discussions of congestion, two plausible countervailing effects of congestion that come to mind are:
I was unable to estimate effect sizes for these benefits, so I'll sheepishly say: between the unquantified harms, the conservative assumptions in my quantified harms (including emission abatement), and the expectation that self-driving cars would yield a reduction in fatalities - I think (but with more time would have liked to confirm!) it's okay to call these a wash.
A handful of particularly frustrated commuters aside, the problem of traffic congestion seems to be one that most folks are eager to forget about as quickly and firmly as they shut their car door. That said, there are a number of organizations who do keep a watchful eye on congestion day in and out. These largely fall into two categories: research organizations (e.g., TTI, the National Institute for Congestion Reduction) and governmental Departments of Transportation (everything from the Federal Department of Transportation down to city-specific agencies).[18]
Research organizations are focused on, well, research. Their funding comes largely from governmental Departments of Transportation (DOT), and the expectation is that researchers’ findings will - in turn - inform policy decisions (e.g., how and where to expand highways or coordinate traffic lights). The National Institute for Congestion Reduction (NICR), for example, focuses on knowledge sharing: primarily through the (co-)publication of research but also through conducting local training. NICR’s reports are on topics such as “Comparing Pricing Mechanisms for Managed Lanes” and “Ensuring Equity and Access in Dockless Micromobility Services.” David Schrank of TTI tells me that historically research organizations haven’t done as much in the way of scenario modeling due to limited data, but such analyses are just now becoming possible thanks to new avenues of data collection. Data that once came from sensors embedded in pavement are now available in larger quantities and with much greater fidelity via mobile phones and GPS / in-dash data.
DOTs, on the other hand, actually embark upon concrete (heh) actions. Unsurprisingly, DOT funding of research is a small fraction of what for many state DOTs is an annual budget measured in billions of dollars. Most DOT funds are used to maintain existing and construct new infrastructure (including roadways, bus facilities and fleets, and ports) to ensure people can move around and businesses can convey products efficiently and safely.
The Texas DOT is particularly focused on reducing congestion (they call this effort “Texas Clear Lanes”), and you can see projects they’re funding here. Bigger ticket projects run as much as $4B+, and examples include:
Which is to say: the scale of the projects being undertaken to address congestion in Texas is massive, while the interventions being employed are relatively narrow in design (largely new and expanded roads).
Meanwhile, philanthropy in this space is virtually nonexistent. There are a handful of non-profits focused on biking (e.g., Transportation Alternatives, PeopleForBikes) or safety (e.g., the AAA Foundation for Traffic Safety), but the only organization that seems to have an interest in congestion whatsoever is the Intelligent Transportation Society of America, a group focused on improving mobility through technology.
In short, then, I could not identify any non-profit whose mission involved reducing congestion - not even a commuter lobby. And this is to say nothing of philanthropic organizations willing to think outside the box and/or seek out interventions through the lens of optimizing cost-effectiveness. A person or organization dedicated to doing so would then be an entirely new type of player, and would encounter the associated benefits (e.g., availability of low-hanging fruit) and challenges (e.g., building partnerships) that are likely to come with it.
I believe there are three main reasons other actors are not already pursuing the most promising strategies to mitigate congestion:
Addressing traffic congestion is something of a “white space” relative to many other cause areas Open Philanthropy might be considering. There are no philanthropic actors in the space to speak of, and research on interventions has been fairly narrowly focused. (Most research today looks to the “supply side” of transit e.g., expanding roads, rather than to demand-oriented interventions looking to reduce “consumption.”) I was unable to find so much as a single randomized control trial (RCT) on the topic, so this isn’t as straightforward as “throw money at the proven cost-effective solutions.”
As such, one immediate way a philanthropic funder could make progress on the problem is by funding research on unusual and newly feasible interventions such as lobbying to encourage the adoption of self-driving cars or a VMT (vehicle miles traveled) fee, leveraging the rich traffic flow data that researchers have only recently had at their disposal.
Alternatively, if a funder were willing to make thoughtful (and not necessarily large) bets and learn retrospectively, it might be possible to “skip” past some research and “do it live,” piloting interventions at a small scale to quickly ascertain the efficacy of these approaches. E.g., an organization could coordinate and fund a local campaign aimed at a city government weighing modifying their laws to ban or incentivize automated vehicles.

Unfortunately I simply didn’t have the time or resources to explore interventions in as much depth as I’d have liked. What I’ve done below is list some of the interventions I’ve encountered and given a very informal estimate as to how they stack up on a range of measures. A funder and/or expert on the topic would, I hope, be able to refine and expand upon this as they explore this issue area.[19][20][21][22][23]

In short, not as rigorously as I’d like. The interventions that I believe might have a shot at 1,000x returns involve lobbying governments to adopt policies or behaviors, and researchers haven’t explored potential returns to lobbying on these specific initiatives. Pressed for time, I’ve had to take a rather rough approach to try to get a sense for whether these interventions have a shot at meeting Open Philanthropy’s targeted 1,000x social return. I came at this from two angles: 1) a rough “sanity check” using a back of the envelope (BOTE) estimate of the expected value of these interventions vs. lobbying costs on other issues 2) researchers’ estimates on the ROI from lobbying in other contexts.
Example A: Lobby / campaign to encourage adoption of self-driving cars
Example B: Encourage / incentivize work from home policies
Verdict: plausible that a campaign to encourage the adoption of self-driving vehicles or more “lenient” work from home policies could meet the 1,000x bar. Confidence interval: very large.[28]
Verdict: lobbying in other contexts is 3 orders of magnitude below our target. Significant caution regarding a potential 1,000x return is warranted, to put it lightly.
TL;DR: The harms of congestion are substantial, the issue area neglected, and the solutions at least plausibly tractable.
Traffic congestion causes harms on the order of $150B+/yr in the US alone, primarily in the form of lost commuter time - equivalent to 10,000 lives a year spent sitting in traffic. However, congestion’s harms are diffuse, which helps explain why there is little-to-no philanthropic focus or consumer advocacy directed toward the issue today.
There are a number of potential paradigm-shifting interventions that could dramatically reduce congestion, some more controversial than others and - apart from funding additional research - none that a philanthropic actor would implement unilaterally. However, EAs are no strangers to government partnership, and the multiplicative effects of swaying policy and government spend are well understood.
Encouraging the adoption of self-driving vehicles and work from home policies are two reasonable places to start given that both have existing momentum behind them and have the potential to make a massive dent in congestion. In addition, funding further research to confirm congestion’s scale (in the US or beyond) and study the effects of these and other interventions could itself be a worthwhile endeavor.
The time is particularly ripe to pursue these interventions (i.e., it’s a “hingey” moment) because: self-driving technology - and associated scrutiny - is starting to reach (early but) meaningful levels; companies are in the midst of revisiting their hybrid/remote work policies; and newly available sources of data - alongside lessons from COVID - will provide researchers opportunities to examine potential interventions in new and more rigorous ways.
Finally, I want to close by highlighting that this cause area represents a possible (though highly uncertain) and unusual opportunity for an “ROI-competitive” EA intervention in the US. If so, addressing traffic congestion could have the added benefit of being a highly visible introduction to effective altruist thinking in the US, and in a way that might be widely felt and appreciated by a large audience. My middle-school self included.
<Spoiler alert> As it turns out, the Texas A&M Transportation Institute has a write-up on a traffic mitigation intervention they call “aggressive incident clearance” and note a 10:1 benefit-cost ratio. It seems to me they’re using “aggressive” rather loosely relative to my original vision, so the jury is still out on Open Philanthropy’s 1000x bar.
This number reflects an estimate of what the Texas A&M Transportation Institute calls “yearly delay per auto commuter” which they define as "[t]he extra travel time during the year due to congested speeds rather than free‐flow speeds by private vehicle drivers and passengers who typically travel in the peak periods." The US Department of Transportation makes this data available on the Bureau of Transportation Statistics site here, which seems to indicate comfort with, if not endorsement of, this approach.
The National Bureau of Economic Research estimates $19.38/hour (2015 dollars) based on natural field experiments with Lyft data, or ~$24/hour in 2022 dollars (link to working paper). The US Department of Transportation provides a range of estimates of what they call the Value of Travel Time Savings (VTTS), for which I take the mid-point of their local travel estimate but use mean rather than median income, based on 2020 US Census household income data (link to US DOT estimates) and arrive at ~$22/hour (2020 data)
Per the US Census Bureau’s American Community Survey, 2019, see here. 133M represents the number of workers aged 16 or over who commuted via car, truck or van - alone or in carpool. I didn’t dive into the details so am unsure how workers who commute fewer than 5 days/week are captured, but this was likely a small proportion in 2019. For the sticklers I’ll note my total estimate here is in line with TTI’s, but they actually split their delay estimates and commuters across major and small urban areas.
TTI estimates 8.3B hours of time wasted (avg. 2014-2019), or 25% higher. In a brief discussion with TTI it seemed they actually estimate total hours delayed in a robust and “bottom-up” manner, so the 8.3B number is probably the better estimate to use, but for the purposes of walking through the math as I’ve done here - and without additional opportunities to confer with TTI - I’ve decided to stick with the likely-too-low estimate of 6.7B
Budget of the US Government, FY 2023 (link), pages 89 and 111
See here, The Value of Time and Reliability: Measurement from a Value Pricing Experiment 2001. I was paywalled so am working off the abstract; fingers crossed the paper doesn’t go on to blow this up.
If any readers decide to explore this, please do let me know!
When calculating free-flow speeds, TTI caps their upper bound at 65MPH (because governments who consume these data would not want to implicitly endorse higher speeds.) As a result, this estimate of wasted fuel may be somewhat inflated, because in reality vehicles might get worse mileage at actual driven speeds than is reflected in these estimates. Particularly given conservative assumptions elsewhere in the analysis, I don't think this moves the needle.
Based on an average gasoline price of $2.61/gallon and diesel of $2.95/gallon (2014-2019) per the US Energy Information Administration. Assumes only excess fuel consumed by trucks (19%) is diesel. Note that TTI does a much more granular evaluation e.g., looking at average cost by state.
Based on AAA’s national average fuel prices, where “today” is 8/7/22. Assumes regular grade fuel (so estimate is conservative).
In actuality, it seems TTI works in the opposite direction: they back into estimated fuel consumption based on CO2 emissions (alongside speed and volume data). More information available on their approach here and throughout their report can be found in Appendix A of their Urban Mobility Report
Based on conversion factors provided by the UK’s DEFRA
Notably, traffic fatalities rose “during COVID” despite reduced congestion on roads. AAA’s Foundation for Traffic Safety investigated this effect and point out that this surprising outcome was not a global phenomenon and that a small percentage of riskier drivers - disproportionately young men - actually increased their driving during this time (link). I’m unsure whether a similar outcome should be expected if congestion were to stay at low levels.
Beyond these two categories, there are a handful of private organizations / associations that have an interest in congestion and associated research, but these are even further removed from the “doing” of congestion intervention. These include groups like INRIX (an automotive analytics provider who get data from connected cars / mobile devices and sell that data to public agencies & car companies) as well as interest groups like the American Road and Transportation Builders Association. Lastly, there are transportation consulting organizations that are sometimes hired by public agencies to do research.
I.e., Size of the benefit (impact) if the intervention is successful
This could be through publishing guidelines on testing, writing laws that protect researchers and automakers, offering financial incentives to automakers and/or buyers, etc. Pittsburgh, PA was an early adopter of clear principles on autonomous vehicle (AV) testing.
E.g., offering “green incentives” to employers for employees based in their state who are note required to be in office full-time
Users of a hyperloop would presumably be charged as on a toll road, so while upfront cost would be high this could be offset (indeed it seems some companies such as Boring Co. seem to think hyperloops have commercial viability). I do not think anyone believes 1000x returns to a hyperloop are remotely plausible.
The cost of adding net new lanes is high, but converting existing lanes would be far less expensive
Driving at higher speeds would likely contribute to higher fuel and emissions costs, but by coordinating traffic flows and meaningfully reducing the need for frequent slow-downs it’s possible fuel consumption would not increase. In addition, high-speed travel would likely displace some short-haul air travelers which is far higher intensity in terms of emissions
I realize I don’t take into account a discount rate of present spend vs. future benefits here (I did not budget enough time for this write-up!). For now I’ll just note that, in addition to the conservative assumptions in many of my numbers, a full picture of this intervention would reflect the incremental adoption of self-driving vehicles over time, yielding congestion benefits even before widespread adoption was achieved
If the approach adopted by government involved incentives for buyers or manufacturers of these vehicles, that cost would also need to be factored in
See https://www.opensecrets.org/federal-lobbying/top-spenders?cycle=2021
I haven’t had the chance to run this by anyone before submitting / posting, so am hopeful commenters will help me refine these numbers and shrink my confidence band!
Source: https://academic.oup.com/restud/article/83/1/269/2461194
Source. Two areas of critique I was able to discuss with TTI were 1) their congestion threshold (i.e., the speed they compare congestion against). TTI uses free-flow speeds (i.e., the pace of traffic when congestion is lightest, which they then cap at 65 MPH). Some suggest TTI should instead leverage speed limits for this purpose, but free-flow seems to me the appropriate comparison as it best reflects what the reality would be if congestion was relieved. I should note that TTI doesn’t use speed limits because of the lack of data, and believe the impact of changing their analysis would be ~10%. 2) their value of time (the ~$20/hour number used for motorists when sizing wasted time). Critics / consumers of their report point out this simplifies across varied locations, but because this assessment is on a national basis again I believe TTI’s approach is appropriate.
The US has a robust national roadway inventory: data on traffic count, type of facility, number of lanes etc. are captured nationally. The US Federal Highway Administration tracks and shares daily traffic volume across the country.
Hat-tip to Ben Schifman who shared this paper, though, that suggest limited potential gains from congestion pricing in Bangalore
This is awesome. I'm always keen for a post that ties in urban planning. This tool from TTI was really neat: https://policy.tti.tamu.edu/congestion/how-to-fix-congestion/ Too bad it can't necessarily be applied to other countries whose infrastructure doesn't hold a candle to advanced countries like the U.S. and Europe.
Thanks Adina! Agree it's an awesome tool; the link was in my draft but I really should have incorporated it!
Taking the tool "one step further" (e.g., trying to size the impact of each intervention in a more standardized manner) is probably one of the most clear-cut (and possibly high-return) next steps a funder could take if they were interested in further pursuing the topic.