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Transportation and the Economy

Transportation and the Economy. H. Scott Matthews March 2, 2004. Admin / Announcements. Midterm Due Thurs! Thurs: HW #3 passed out (due 3/23) Next week: Spring break. Recap of Recent Lecture(s). Prob/stats discussion about models to envision, predict, portray infrastructure effects

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Transportation and the Economy

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  1. Transportation and the Economy H. Scott Matthews March 2, 2004

  2. Admin / Announcements • Midterm Due Thurs! • Thurs: HW #3 passed out (due 3/23) • Next week: Spring break

  3. Recap of Recent Lecture(s) • Prob/stats discussion about models to envision, predict, portray infrastructure effects • Including deterioration models • How can we apply these? • Need data • What kind of data exists?

  4. What is Management? • The act, manner, or practice of managing; handling, supervision, or control: management of a crisis; management of factory workers. • The person or persons who control or direct a business or other enterprise • Source: American Heritage Dictionary (00)

  5. 2 (familiar?) slides from the first lecture in the course: What is Infra. Mgmt.? • Administrative process of creating, planning, and maintaining our infrastructures • An integrated, inter-disciplinary process that ensures infrastructure performance over its life cycle • Life cycle is entire time from design through decommissioning How did we claim to achieve/realize this goal?

  6. Policy Issues • Need to recognize geographical or locational needs/differences • Need flexibly-designed standards at federal, state levels (e.g. snow in NE US) • Systems designed flexibly to accommodate technological change • Need to track/predict performance indicators

  7. How to Manage Transportation Infrastructure? • Brainstorm ways to make decisions.. • Manage life cycle costs based on ___? • Source: “Transportation and the Economy”, AASHTO, May 1998.

  8. AASHTO Excerpt • Benchmarks how important highway investments are to economy (and well being) • Rates of return of investments • Important metrics - tell us everything? • Prioritize multi-modal transport programs? • i.e., rail vs. truck vs. air decisions • Using this info for toll/tax decision making • Difference in-house vs. outsourced transportation • 3% vs. 5% of GDP from transportation • Focuses mainly on freight transport but personal/passenger also relevant

  9. Where do you THINK data comes from for these facts? • Or, what would ideal data/modeling look like?

  10. Background on Data Sources • Several major components • Department of Commerce • Shipments, locations, employees, etc. • Department of Transportation • Commodity Flow Survey (CFS) • Consumer Expenditure Survey • American Travel Survey (Households)

  11. Commodity Flow Survey • Multimodal - Flow of goods & materials by mode • Samples 200,000 establishments randomly from a universe of about 800,000 engaged in mining, manufacturing, wholesale, etc. • Each selected establishment reported a sample of abut 25 outbound shipments for a one-week period in each of four calendar quarters in 1997. • Total sample of over 5 million shipments. For each shipment: zip code of origin and destination, commodity shipped, weight, value, and modes of transport • Data for all modes used per shipment

  12. CFS Outputs • State-to-state level transport data • http://www.bts.gov/ntda/cfs/cfs97od.html • Approximate distances and routings • Estimates of freight movement within/to/ from/through per state (truck ton-miles) • See Map 1 in Handout • Similarly, see Map 2 for Passenger • How would this data change your thoughts on highway funds allocation?

  13. Woodrow Wilson Bridge • I-95 over Potomac (near Wash, DC) • Used CFS data to estimate shipments that happened over the bridge • $58 billion in 1993 (1.3% of total) • 30 million tons (0.5% of total) • About $1/pound (3x higher than avg) • Why? Mix of commodities different • Note some shipments missed (farm, construction, transportation, retail).. • CFS data didn’t give exact routes - had to guess

  14. Technology Applications • This is not enough data to make management decisions - get more? • How? • Track/locate individual vehicles • Schedule/route vehicles • Fleet/logistics management application • Fleet managers can get value from these approaches (better, faster freight business) • Connected w/ Geographic Info Systems (GIS)

  15. Security Perspective • Might want to be able to track/ verify shipments entering an area (e.g. US) • With all of this, what kinds of solutions could be implemented?

  16. Other Issues • “Data Gaps” • NAFTA (North American Free Trade Agreement) • Effects of just-in-time inventory mgmt

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