TRANSPORT COSTS AND REGIONAL DEVELOPMENT

TRANSPORTKOSTNADER OCH REGIONAL UTVECKLING. MODELLER FOER ANALYS AV REGIONALPOLITISKT STOED AU GODSTRANSPORTER

In order to make the north of Sweden economically more viable, the government introduced transport subsidies as a means whereby the goal of increasing employment in the region can be realised. For this to be possible, there must be a direct relation between goods transport costs and economic development in different regions. This relation is a very complex one, and this study analyses it by an explicit model which endeavours to quantify the effects of a change in transport costs. The analysis is based on regional adaptation consisting of cost effects, production volume effects and employment effects. Cost effects depend on the mode of operation of the goods transport market, improvements, if any, in transport quality, advantages of large-scale production such as longer runs, and demand density. Analysis of volume effects assumes a homogeneous and infinite space, although this is in most cases heterogeneous. An industry is chosen as the suitable aggregation level, a difference being made between industries with a falling and a rising supply curve. A comparison is made between two hypothetical regions with different demand densities. The effects of support measures on the forestry industry in Upper Norrland are examined by empirical calculation. /TRRL/

  • Corporate Authors:

    Stockholm School of Economics

    Economics Research Institute, Box 6501
    113 83 Stockholm,   Sweden 
  • Authors:
    • Ryden, I
  • Publication Date: 1976

Language

  • Swedish

Media Info

  • Features: Figures; References; Tables;
  • Pagination: 208 p.

Subject/Index Terms

Filing Info

  • Accession Number: 00157905
  • Record Type: Publication
  • Source Agency: Transport and Road Research Laboratory (TRRL)
  • Report/Paper Numbers: Monog Rpt.
  • Files: ITRD, TRIS
  • Created Date: Aug 31 1977 12:00AM