Chapter 9 Transportation and Communications Understanding modern transportation

Chapter 9 Transportation and Communications • Understanding modern transportation and communications systems • Point out historically specific nature of these systems • Cost-space & time-space convergence • Transportation & economic development • Transportation policy • Innovations in transportation in U. S. metro areas • Communications innovations & computer networks • Social & economic impacts of the Internet • Likely future impacts of IT

Transport Networks: An Historical Perspective • The capitalist imperative & the development of transportation technologies • Site & situation – in time and space • Improvements in transport promote the division of labor – specialization – and trade, Fig 9. 1 • This helps improve productivity and raise real wealth – but there are distributional consequences • “In today’s world, almost nothing is consumed where it is produced; …” p. 286 Really? • Transportation innovations & impacts on the developing world (picture p. 291)

European High Speed Rail: where are we?

Network Options – Fig 9. 3 Hybrid Least Cost to Use B A A B D C D C Maximum Connectivity Least Cost to Build High Travel Costs AC, BD Benefit-Cost Evaluation of Network Choice: - Benefits: relative travel cost (savings), interaction - Costs: investment, operations

Evaluating Networks for Maximum Net Benefits Ullman’s Famous Map of Railway Traffic (a) 5 (b) (c) (d) 4 3 7 Cost = 14, R = 25 Net Benefit 11 Cost = 19, R = 29 Net Benefit = 10 Cost = 10 Revenue = 15 Net Benefit = 5 Cost = 12, R = 18 Net Benefit = 6

Ullman’s Famous Railroad Map

Taaffe, Morrill & Gould Similar to Fig 10. 3 Vance’s endogenic And exogenic model The cumulative Causation concept Hoyle

Spatial Impact of Transport Improvements – Cost Space and Time Space Convergence 1. Demand for Accessibility 6. Increased Interaction 5. Spatial adaptation to changes in timespace organization (centralization and specialization Search 2. Technological Development 4. Time-space convergence 3. Transport Innovation Janelle model

Key Consequences of Janelle Model Interaction • Long-run decrease in friction of distance t 1 t 2 t 3 Distance Due to innovations in transportation methods and improvements in media themselves Result: Lowered average ton-mile costs of transportation and decreased importance of transport costs as a factor cost AND other costs rise in importance

Consequences of Janelle Model, Cont. • The spatial pattern of production moves from dispersed……. . C 1 M 1 L 3 M 2 L 2 C 3 M 1 C 2 M 1

Consequences of Janelle Model, Cont. • To concentrated, taking advantage of the intrinsic comparative advantages of resource supplies C 1 M 1 L 3 M 2 L* C 2 M 1 L 2 C 3 M 1 • Resulting in (1) geographic specialization, (2) increased spatial extent of production, (3) greater interaction (consider this model operating across many industries)

Examples of Janelle Model Steam-powered railroads versus waterborne sailing vessels & canal era or overland by horse-drawn wagons. Fig 9. 7 Development of Interstate Highway System Development of intermodal cargo-container system (ship/rail) ? What about in the services? Clearly impact in business/tourist services. But what about the Internet? Figure 9. 8 – disappearance of long-distance telephone rates

Adaptation of Borchert model

General Properties of Transport Costs

Curvilinear Transport Costs

Variations in Transport Costs Among Modes Transport Cost/Unit Weight Air Truck Rail Ship Pipeline TRS Distance

Factors Influencing Transport Rates 1. Grouping freight rates into zones 2. Variations due to commodity characteristics (a) Differences in cost of service related to: (1) Loading characteristics (2) Size of shipment (3) Perishability and risk of damage (b) Elasticity of Demand for Transportation 3. Variations due to traffic characteristics (a) intermodal competition (b) traffic density (c) direction of haul

General Relationship Between Distance and Unit Cost per ton-mile $ ce n ta Dis Quantity

Factors Influencing Transport Costs • International shipping regimes (cargo container carriers & ports) • Location of high-tech – often near airports • Free trade zones • Deregulation and privatization • Development of networks (esp. airline – hub & spoke vs. complex point to point) Figure 9. 14 (one not two carriers!) • Figure 9. 19: Yucca Mtn. still controversial

Personal Mobility in the U. S. Home to work Social & Rec. Other family or personal business Note the increase in non-journey to work trips Labels are off in right-hand figure