I read an interesting and informative article that I would like to share with you for my President's Perspective this month.
The Geography and Transport Systems Magazine wrote this article tying together the relationship between Transportation and Economic Development. In the article, the magazine lays out 5 main influential factors that transportation has on Economic Development:
1) The Economic Importance of Transportation boils down to one main focus: "Efficient transportation reduces costs, while inefficient transportation increases costs."
2) Transportation and Economic Opportunities:
investments in transportation are commonly more wealth producing rather than wealth consuming.
3) Types of Transport Impacts are hard to pinpoint, but there are two main focuses. The "timing of development" varies, as each case study has its individual sets of timing circumstances, while the "types of impacts" also vary widely from case to case. Each case needs to be looked at individually.
4) Transport as a Factor of Production relates specifically to commodity markets and labor markets as small changes and improvements to the transportation system can have major affects on both markets.
5) Socioeconomic Impacts also have to be considered so that transportation changes do not become a burden to local economies. Transportation must be implemented carefully so that it benefits local companies while keeping the quality of life comfortable for local citizens.
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-Keith Gillenwater, President & CEO