Research Catalog

Title

The Broader Benefits of Transportation Infrastructure [electronic resource] / Ian Sue Wing, William Anderson and T.R. Lakshmanan

Author

Sue Wing, Ian.

Publication

Paris : OECD Publishing, 2007.

Details

Additional Authors

• Anderson, William.
• Lakshmanan, T.R.

Description

42 p.; 21 x 29.7cm.

Summary

Assessments of the economic benefits of transportation infrastructure investments are critical to good policy decisions. At present, most such assessments are based of two types of studies: micro-scale studies in the form of cost-benefit analysis (CBA) and macro-scale studies in the form of national or regional econometric analysis. While the former type takes a partial equilibrium perspective and may therefore miss broader economic benefits, the latter type is too widely focused to provide much guidance concerning specific infrastructure projects or programs. Intermediate (meso-scale) analytical frameworks, which are both specific with respect to the infrastructure improvement in question and comprehensive in terms of the range of economic impacts they represent, are needed. This paper contributes to the development of meso-scale analysis via the specification of a computable general equilibrium (CGE) model that can assess the broad economic impact of improvements in transportation infrastructure networks. The model builds on recent CGE formulations that seek to capture the productivity penalty on firms and the utility penalty on households imposed by congestion (Meyers and Proost, 1997; Conrad, 1997) and others that model congestion via the device of explicit household time budgets (Parry and Bento, 2001, 2002). The centerpiece of our approach is a representation of the process through which markets for non-transport commodities and labor create derived demands for freight, shopping and commuting trips. Congestion, which arises due to a mismatch between the derived demand for trips and infrastructure capacity, is modeled as increased travel time along individual network links. Increased travel time impinges on the time budgets of households and reduces the ability of transportation service firms to provide trips using given levels of inputs. These effects translate into changes in productivity, labor supply, prices and income. A complete algebraic specification of the model is provided, along with details of implementation and a discussion of data resources needed for model calibration and application in policy analysis.

Series Statement

OECD/ITF Joint Transport Research Centre Discussion Papers, 2070-8270 ; no.2007/10

Uniform Title

OECD/ITF Joint Transport Research Centre Discussion Papers, no.2007/10.

Subject

Transport

LCCN

10.1787/234743834644

OCLC

oecd-lib-002606

Author

Sue Wing, Ian.

Title

The Broader Benefits of Transportation Infrastructure [electronic resource] / Ian Sue Wing, William Anderson and T.R. Lakshmanan

Imprint

Paris : OECD Publishing, 2007.

Series

OECD/ITF Joint Transport Research Centre Discussion Papers, 2070-8270 ; no.2007/10

OECD/ITF Joint Transport Research Centre Discussion Papers, 2070-8270 ; no.2007/10.

Connect to:

http://dx.doi.org/10.1787/234743834644

Indexed Term

Transport

Added Author

Anderson, William.

Lakshmanan, T.R.

Other Standard Identifier

10.1787/234743834644 doi