ECONOMIES OF DENSITY AND SERVICE LEVELS ON U.S. RAILROADS: AN EXPERIMENTAL ANALYSIS

Econometric studies have consistently shown that U.S. railroads enjoy susbstantial economies of traffic density, although the underlying causes of these economies are not fully understood. This paper shows how increased density makes it possible to achieve economies in the use of train labor and equipment. Increased density not only allows for longer trains, thus spreading train cost over a larger output, but also makes it economical to provide direct train connections between an increasing number of terminals. This reduces transit time. Reductions in transit time may be a more significant benefit of density than reductions in unit cost. Furthermore, estimates of returns to density are quite sensitive to the level of service provided.

  • Corporate Authors:

    University of British Columbia, Vancouver

    Centre for Transportation Studies
    Vancouver, British Columbia  Canada  V6T 1W5
  • Authors:
    • Keaton, M H
  • Publication Date: 1990-9

Media Info

Subject/Index Terms

Filing Info

  • Accession Number: 00604199
  • Record Type: Publication
  • Files: TRIS
  • Created Date: Feb 28 1991 12:00AM