THE IMPACT OF INFLATION UPON US HIGHWAY MAINTENANCE AND CONSTRUCTION COSTS

Over the past ten years, per mile costs for highway maintenance and construction have risen much faster than general wholesale and retail pricies in the US economy. This paper examines historical data on highway maintenance costs, highway construction costs, and general wholesale prices in order to help explain the disproportionate impact of inflation upon highway costs and to project future highway costs increases through 1985. Time-series regressions are used to model highway costs increases as functions of cost increases in the general wholesale sector. Results indicate that construction costs respond quickly to economic changes, with average cost increases 1-1/2 times the general inflation rate. In contrast, maintenance costs tend to be more stable over time and respond slowly to inflationary pressures. These differences can be attributed to differences in the contractual procedures which state and local governments use to supply maintenance and construction services. (TRRL)

• Availability:
  • Find a library where document is available. Order URL: http://worldcat.org/issn/09658564
• Corporate Authors:

  Pergamon Press, Incorporated

  Headington Hill Hall
  Oxford OX30BW,    
• Authors:
  • Phillips, B A
• Publication Date: 1982-1

Language

• English

Media Info

• Features: Figures; References; Tables;
• Pagination: p. 1-11
• Serial:
  • Transportation Research Part A: Policy and Practice
  • Volume: 16A
  • Issue Number: 1
  • Publisher: Elsevier
  • ISSN: 0965-8564
  • Serial URL: http://www.sciencedirect.com/science/journal/09658564

Subject/Index Terms

• TRT Terms: Construction; Costs; Highway maintenance; Impact studies; Inflation; Maintenance management; Regression analysis; Road construction; Time series analysis
• Uncontrolled Terms: Construction costs; Maintenance costs
• ITRD Terms: 224: Cost; 132: Forecast; 183: Government (national); 9032: Increase; 3847: Maintenance; 6473: Mathematical model; 3665: Road construction; 8122: USA
• Subject Areas: Construction; Data and Information Technology; Finance; Highways; Maintenance and Preservation;

Filing Info

• Accession Number: 00349507
• Record Type: Publication
• Source Agency: Transport and Road Research Laboratory (TRRL)
• Files: ITRD, TRIS
• Created Date: Jun 30 1982 12:00AM