Pitfalls in estimating “wider economic benefits” of transportation projects
AbstractThe Department for Transport in the United Kingdom has been a pioneer in including indirect benefits in the cost–benefit analysis of a transport project. They identify three types of wider impacts, i.e., (1) agglomeration, (2) increased or decreased output in imperfectly competitive markets, and (3) labor market impacts, and provide detailed guidelines on how to estimate them. Extending a differentiated product model that provides the microfoundations of urban agglomeration economies to include all three types of the wider impacts, this paper examines whether the British methodology of estimating the wider benefits can be justified theoretically.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by National Graduate Institute for Policy Studies in its series GRIPS Discussion Papers with number 13-20.
Length: 30 pages
Date of creation: Oct 2013
Date of revision:
Contact details of provider:
Postal: 7-22-1 Roppongi, Minato-ku, Tokyo, Japan 106-8677
Web page: http://www.grips.ac.jp/r-center/en/discussion_papers/
More information through EDIRC
This paper has been announced in the following NEP Reports:
- NEP-ALL-2013-10-18 (All new papers)
- NEP-PPM-2013-10-18 (Project, Program & Portfolio Management)
- NEP-TRE-2013-10-18 (Transport Economics)
- NEP-URE-2013-10-18 (Urban & Real Estate Economics)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Appelbaum, Elie, 1982. "The estimation of the degree of oligopoly power," Journal of Econometrics, Elsevier, vol. 19(2-3), pages 287-299, August.
- Vickerman, Roger, 2008. "Transit investment and economic development," Research in Transportation Economics, Elsevier, vol. 23(1), pages 107-115, January.
- Diego Puga, 2010.
"The Magnitude And Causes Of Agglomeration Economies,"
Journal of Regional Science,
Wiley Blackwell, vol. 50(1), pages 203-219.
- Diego Puga, 2009. "The magnitude and causes of agglomeration economies," Working Papers 2009-09, Instituto Madrileño de Estudios Avanzados (IMDEA) Ciencias Sociales.
- Kanemoto, Yoshitsugu, 2013.
"Second-best cost–benefit analysis in monopolistic competition models of urban agglomeration,"
Journal of Urban Economics,
Elsevier, vol. 76(C), pages 83-92.
- Yoshitsugu Kanemoto, 2012. "Second-Best Cost-Benefit Analysis in Monopolistic Competition Models of Urban Agglomeration," GRIPS Discussion Papers 11-21, National Graduate Institute for Policy Studies.
- Richard Arnott, 2007.
"Congestion Tolling with Agglomeration Externalities,"
Boston College Working Papers in Economics
660, Boston College Department of Economics.
- Arnott, Richard, 2007. "Congestion tolling with agglomeration externalities," Journal of Urban Economics, Elsevier, vol. 62(2), pages 187-203, September.
- Kanemoto, Yoshitsugu & Mera, Koichi, 1985.
"General equilibrium analysis of the benefits of large transportation improvements,"
Regional Science and Urban Economics,
Elsevier, vol. 15(3), pages 343-363, August.
- Yoshitsugu Kanemoto & Koichi Mera, 1984. "General Equilibrium Analysis of the Benefits of Large Transportation Improvements," Working Papers 567, Queen's University, Department of Economics.
- Kristian Behrens & Yoshitsugu Kanemoto & Yasusada Murata, 2010.
"The Henry George Theorem in A Second-Best World,"
CIRJE-F-773, CIRJE, Faculty of Economics, University of Tokyo.
- De Locker, Jan & Warzynski, Frederic, 2009.
"Markups and Firm-Level Export Status,"
09-4, University of Aarhus, Aarhus School of Business, Department of Economics.
- Kanemoto, Yoshitsugu, 2013. "Evaluating benefits of transportation in models of new economic geography," Economics of Transportation, Elsevier, vol. 2(2), pages 53-62.
- Tony Venables, 2004.
"Evaluating urban transport improvements: cost benefit analysis in the presence of agglomeration and income taxation,"
LSE Research Online Documents on Economics
2205, London School of Economics and Political Science, LSE Library.
- Anthony J. Venables, 2007. "Evaluating Urban Transport Improvements: Cost-Benefit Analysis in the Presence of Agglomeration and Income Taxation," Journal of Transport Economics and Policy, London School of Economics and University of Bath, vol. 41(2), pages 173-188, May.
- Anthony J. Venables, 2004. "Evaluating Urban Transport Improvements: Cost Benefit Analysis in the Presence of Agglomeration and Income Taxation," CEP Discussion Papers dp0651, Centre for Economic Performance, LSE.
- Combes, Pierre-Philippe & Duranton, Gilles & Gobillon, Laurent, 2004.
"Spatial Wage Disparities: Sorting Matters!,"
CEPR Discussion Papers
4240, C.E.P.R. Discussion Papers.
- Melo, Patricia C. & Graham, Daniel J. & Noland, Robert B., 2009. "A meta-analysis of estimates of urban agglomeration economies," Regional Science and Urban Economics, Elsevier, vol. 39(3), pages 332-342, May.
- Bresnahan, Timothy F., 1982. "The oligopoly solution concept is identified," Economics Letters, Elsevier, vol. 10(1-2), pages 87-92.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: ().
If references are entirely missing, you can add them using this form.