Found 3 article(s) for author 'Transportation'

The Political Economy of Transportation Investment

The Political Economy of Transportation Investment. Edward Glaeser, January 2017, Paper, “Will politics lead to over-building or under-building of transportation projects? In this paper, we develop a model of infrastructure policy in which politicians overdo things that have hidden costs and underperform tasks whose costs voters readily perceive. Consequently, national funding of transportation leads to overspending, since voters more readily perceive the upside of new projects than the future taxes that will be paid for distant highways. Yet when local voters are well-informed, the highly salient nuisances of local construction, including land taking and noise, lead to under-building. This framework explains the decline of urban mega-projects in the US (Altshuler and Lubero§ 2003) as the result of increasingly educated and organized urban voters. Our framework also predicts more per capita transportation spending in low-density and less educated areas, which seems to be empirically correct.Link

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Transportation Cost and the Geography of Foreign Investment

Transportation Cost and the Geography of Foreign Investment. Laura Alfaro, January 6, 2017, Paper, “Falling transportation costs and rapid technological progress in recent decades have precipitated an explosion of cross-border flows in goods, services, investments, and ideas led by multinational firms. Extensive research has sought to understand the geographic patterns of foreign direct investment (FDI). This chapter reviews existing theories and evidence specifically addressing questions including: How is FDI distributed across space? Why does the law of gravity apply? How do the costs of transporting goods, tasks, and technologies influence firms’ decisions to separate tasks geographically and locate relative to one another? We discuss a variety of theoretical mechanisms through which transport cost and other geographic friction influence FDI and present the key empirical studies and findings.Link

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Transportation Revenue Options: Infrastructure, Emissions, and Congestion

Transportation Revenue Options: Infrastructure, Emissions, and Congestion. Henry Lee, September 2010, Paper. “For more than half a century, the United States adhered to the user fee principle in financing its transportation infrastructure; designing systems in which users, not the general public, paid for the construction and maintenance of roads. Under this principle, the federal government relied heavily on a fuel tax to support the cost of its highway system. Revenues from the tax go into the federal Highway Trust Fund, which is independent of the General Fund; and every five years or so Congress passes an authorization bill…” Link

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