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Learn to Do the Shoup Test in Your Neighborhood

The Shoup Test is a simple rule of thumb for determining what the market price of parking ought to be in your neighborhood. The answer is whatever price makes it so that there's just one space open on each block, on each side of the street, at any given time.

If we set the price to pass the Shoup Test, we make it so people won't cruise around the block looking for parking. If the price is right, it serves to calibrate demand so that people can find the space they need quickly, and those who are willing to walk a bit farther, carpool, bike, or take public transit are incentivized to do so. In addition, more convenient spaces (for example, right on the curb on a busy block of Main Street) will be priced higher than less convenient ones (for example, a couple blocks away on a side street) to reflect their higher demand, which will make them turn over more frequently. This is good for local businesses, who want those parking spaces to be available to their customers, not hogged all day by a single vehicle.

Here’s Shoup on the startling costs of cruising:

A study of cruising in one 15-block business district in Los Angeles found that, over the course of a year, the search for underpriced curb parking created about 950,000 excess vehicle miles of travel—equivalent to 38 trips around the earth, or four trips to the moon. And here’s another inconvenient truth about underpriced curb parking: cruising those 950,000 miles wastes 47,000 gallons of gasoline and produces 730 tons of carbon dioxide. If all this happens in one small business district, imagine the cumulative effect of all cruising in throughout the United States.

Watch Shoup Explain the Three Elements of a Better Parking Policy