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Multimodal Transport Networks

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Listed:
  • Simon Fuchs
  • Woan Foong Wong

Abstract

Over half of distance-weighted U.S. freight is shipped using more than one transport mode. We examine how multimodal transport networks shape the economic and environmental impacts of infrastructure investments and disruptions. We develop a tractable spatial equilibrium model of multimodal routing with mode-specific congestion at intermodal terminals. We estimate a modal substitution elasticity using road and rail data, and a terminal congestion elasticity using vessel-positioning data. Calibrated to the U.S. freight network, the model identifies key bottlenecks and quantifies $.46-$1.85 billion in real GDP gains from intermodal terminal improvements, with additional environmental benefits from shifting away from carbon-intensive road transport. Ignoring mode-specific congestion overstates welfare gains from highway improvements by 85%, while ignoring multimodal flexibility understates them by 22%. Losing rail network access is estimated to reduce real GDP by $230 billion.

Suggested Citation

  • Simon Fuchs & Woan Foong Wong, 2026. "Multimodal Transport Networks," NBER Working Papers 35065, National Bureau of Economic Research, Inc.
    • Handle: RePEc:nbr:nberwo:35065
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    Cited by:

    1. is not listed on IDEAS
    2. Adachi, Daisuke, 2026. "Rails, Risks, and Resilience: A Dynamic Spatial Equilibrium Analysis with Natural Disaster Risks," SocArXiv qj9ka_v1, Center for Open Science.
    3. Evangelos D. Spyrou & Vassilios Kappatos & Maria Gkemou & Evangelos Bekiaris, 2025. "Multimodal Transport Optimization from Doorstep to Airport Using Mixed-Integer Linear Programming and Dynamic Programming," Sustainability, MDPI, vol. 17(17), pages 1-15, September.
    4. Chowdhry, Sonali & Heiland, Inga & Mahlkow, Hendrik, 2026. "Quantitative trade with ships," Kiel Working Papers 2314, Kiel Institute for the World Economy.
    5. Christopher Severen, 2026. "Evaluating Transportation Improvements Within Cities Using Quantitative Spatial Models," Working Papers 26-13, Federal Reserve Bank of Philadelphia.

    More about this item

    JEL classification:

    • F11 - International Economics - - Trade - - - Neoclassical Models of Trade
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • R42 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Government and Private Investment Analysis; Road Maintenance; Transportation Planning

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