Source: Litman, T. (2006) "Transportation Market Distortions", Berkeley Planning Journal, Volume 19, p.23.
- Internal variable costs. These costs vary according to the amount of travel. They include vehicle operation, fuel and travel time.
- Internal fixed costs. Mainly related to the vehicle ownership and parking fees. Also include depreciation, insurance, finance charge, license fee, etc.
- External costs. Not assumed by individual users but by the collectivity. They mainly involve road provision costs.