ECONOMIC IMPACTS OF TRANSPORTATION INVESTMENTS: THE CASE OF FEDERAL EXPRESS

This paper examines and compares two approaches to estimating the economic benefits of an air cargo hub facility on a local economy. Four medium-sized midwestern local economies are studies: Indianapolis, where an expansion of Federal Express operations is underway and an even greater expansion is proposed; Memphis, where Federal Express has their primary hub; Louisville, where UPS located their air cargo hub; and Cincinnati, where DHL located an air cargo hub and Delta located a passenger hub. For large air cargo hubbing facilities, the two approaches tested -- input-output analysis and econometric modeling -- appear to yield systematically different results. While further research is needed, these differences suggest that in the case of air cargo hubs, widely used methods of input-output analysis may fail to capture some of the important economic development benefits.

  • Corporate Authors:

    Transportation Research Forum

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  • Authors:
    • Oster, C V
    • Rubin, B M
    • Strong, J S
  • Conference:
  • Publication Date: 1995

Language

  • English

Media Info

  • Pagination: p. 627-638

Subject/Index Terms

Filing Info

  • Accession Number: 00726854
  • Record Type: Publication
  • Report/Paper Numbers: Volume 2
  • Files: TRIS
  • Created Date: Oct 18 1996 12:00AM