Transportation Capital in the United States

Abstract

This study introduces a new general equilibrium approach to evaluate economic impact of public transportation capital stock in the United States. By treating public transportation capital as separated factor accounts, the model enables us to assess the economic impact of public transportation stock for four modes: road, air, transit, and water transportation. The study provides a direct and easy way for policy maker and transportation planning practitioner to compare social and economic benefits of different modes of public transportation. Findings reveal that road stock has the highest contribution to the growth of gross domestic product (GDP) and levels of social welfare; public transit and other ground passenger transportation have the least impact on the U.S. economy among the four modes.