EFFECT OF HIGHWAY IMPROVEMENT ON TRAVEL TIME OF COMMERCIAL VEHICLES- A TWENTY-FIVE YEAR CASE STUDY

THE TIME SAVED BY BOTH PRIVATE AND COMMERCIAL VEHICLES AS THE RESULT OF EXPENDITURES FOR HIGHWAY CONSTRUCTION, IMPROVEMENT, AND MAINTENANCE IS CLEARLY OF CONSIDERABLE IMPORTANCE TO THOSE ENGAGED IN EVALUATING PROSPECTIVE CONSEQUENCES OF INVESTMENT DECISIONS. STUDIES OF ACTUAL ECONOMIC ANALYSES INDICATE THAT DECISIONS ARE FREQUENTLY QUITE SENSITIVE TO THE WAY IN WHICH ANALYSTS TREAT THE VALUE OF TIME. IN ESSENCE, THERE ARE TWO ASPECTS TO THE TIME PROBLEM' /A/ THE NUMERICAL DOLLAR VALUE PLACED ON UNITS OF TIME SAVINGS, AND /B/ THE METHOD OF INTRODUCING THE SAVINGS IN THE ANALYSIS. THE SUBJECT OF THIS PAPER APPLIES PRINCIPALLY TO THE LATTER; IT IS ESSENTIALLY A CASE STUDY, EXAMINING IN DETAIL THE INTERRELATIONSHIPS OF TWO MAJOR SECTIONS OF HIGHWAY AND A PRINCIPAL COMMERCIAL USER OVER A 25-YR PERIOD. EVIDENCE DEVELOPED CLEARLY INDICATES THAT TIME IS NOT ECONOMICALLY SIGNIFICANT SIMPLY WHEN IT IS RELEASED BY HIGHWAY IMPROVEMENT; THERE IS A CONSIDERABLE LAG BETWEEN THE POINT AT WHICH TIME IS SAVED AND THAT AT WHICH IT CAN BE UTILIZED IN AN ECONOMIC SENSE. IF CONDITIONS REPRESENTED BY THE STUDY ARE AT ALL REPRESENTATIVE OF CONDITIONS ELSEWHERE IN THE COUNTRY, THEN IT FOLLOWS THAT PRESENT METHODOLOGY IS INCORRECT IN THAT IT FAILS TO GIVE PROPER EFFECT TO THE TIMING OF THIS IMPORTANT CONCONSEQUENCE OF HIGHWAY IMPROVEMENT. /AUTHOR/

Media Info

  • Media Type: Print
  • Features: Figures; References; Tables;
  • Pagination: pp 19-47
  • Monograph Title: Highway economics
  • Serial:

Subject/Index Terms

Filing Info

  • Accession Number: 00201101
  • Record Type: Publication
  • Files: TRIS, TRB
  • Created Date: Apr 1 1994 12:00AM