Generalized Approach for Assessing Direct User Impacts of Multimodal Transport Projects

Abstract

The effects of a transportation project can be estimated either by benefit/cost accounting or by economic development impact analysis, both of which are regularly used by government agencies to plan and justify investments. While these approaches differ in methodology, both rely on the estimation of direct user impacts -those arising from changes in the quantity and quality of travel. However, a survey of published analyses and guides reveals, first, that there is considerable confusion between an economic benefit (as used in benefit/cost accounting) and an economic impact (as used in impact analysis), and second, that user impacts are frequently estimated too narrowly by ignoring intermodal effects and impacts to freight shippers. To address these issues, we present a framework for estimating direct user impacts that (1) is generalized to accommodate multiple travel modes in a way that avoids double-counting, (2) gives a full treatment of freight shippers and carriers, and (3) differentiates between benefits and impacts for use in either type of analysis.

Applying Benefit–Cost Analysis for Airport Improvements

“…The reviewed guidance documents incorporated highway, transit, and freight rail modes and multimodal systems, as well as aviation. Documents from various agencies provide background on BCA as it relates to particular transportation modes and geographic areas (6)(7)(8)(9)(10)(11)(12)(13)(14)(15)(16)(17).…”

“…Multimodal guidance documents also recognize freight inventory value in the calculation of delay costs (14), and that factor is incorporated into some highway analysis systems (such as the FHWA BCA.NET system) (13). The TREDIS multimodal analysis framework further allows for inclusion of both freight value and logistics costs in a multimodal BCA (15). Taken together, the implication of these various modal discrepancies in valuation of freight time delay is particularly problematic for aviation planning.…”

Progress and Challenges in the Application of Economic Analysis for Transport Policy and Decision Making

“…In early ex ante appraisal work, this distinction was very clear (if somewhat naïve), but the evolution of methods described above has blurred it in many cases (see Alstadt and Weisbrod, 2007). The nature of this blurring follows from Sue Wing et al's (2007) discussion of the traditional benefit/cost analysis.…”

Modeling impact assessment of transport policies through a multiregional input-output integrated approach

“…reduction of operating costs, travel-time savings, improved safety, and commuter cost savings, among others). In this sense, Alstadt and G. Weisbrod (2008) say that transportation project assessment is driven through economic impacts analyses (as measured by employment, output, or income in the economy) and by economic benefit studies (as calculated for Benefit/Cost studies). It is worth noting that transport project assessment has been considered through Macro, Meso and Micro economic tools approaches (Organization for Economic Cooperation and Development -OECD and International Transport Forum ITF 2008).…”