Chapter 7 – Transport and the Economy CONCEPTS

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Concept 1 Transport and Economic Development Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Services and their Associated Infrastructures Supporting Infrastructures Transportation Roads, bridges, tunnels, rail tracks, ports, harbors, airports, distribution centers, etc. Water Supply Dams, reservoirs, pipes, treatment plants, etc. Water Disposal Sewers, used water treatment plants, etc. Irrigation Dams, reservoirs, canals, sprinkling systems, etc. Garbage Disposal Landfills, incinerators, recycling facilities, compost units, etc. Telecommunications Telephone exchanges, telephone lines, oceanic cables, cellular towers, fiber optic cables, web servers, etc. Power Power plants, transmission & distribution lines, etc. Source: adapted from R. Prud’homme (2005) Infrastructure and Development, in F. Bourguignon and B. Pleskovic, (eds). Lessons of Experience (Proceedings of the 2004 Annual Bank conference on Development Economics). Washington: The World Bank and Oxford University Press, pp. 153-181. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Economic Benefits of Transportation Direct Transport Supply Direct Transport Demand Indirect Microeconomic Indirect Macroeconomic Income from transport operations (fares and salaries). Access to wider distribution markets and niches. Improved accessibility. Time and cost savings. Productivity gains. Division of labor. Access to a wider range of suppliers and consumers. Economies of scale. Rent income. Lower price of commodities. Higher supply of commodities. Formation of distribution networks. Attraction and accumulation of economic activities. Increased competitiveness. Growth of consumption. Fulfilling mobility needs. Source: adapted from European Conference of Ministers of Transport. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Socioeconomic Benefits of Transportation Passengers Freight Users Operators Direct Time and cost savings (e.g. commuting). Income from transport operations. Time and cost savings (e.g. deliveries). Income from transport operations. Capacity and efficiency Employers / Retail Customers Indirect Wider access to labor or customers. Rent income. Goods and services to users. Productivity and added gains. Rent income. Goods and services to operators. Wider range of suppliers and markets. Scale Accessibility and economies of scale Society Economy Induced Improved mobility. Increased social opportunities. Formation of distribution networks. Attraction of economic activities. Increased competitiveness. Multipliers and opportunities Scope Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Types of Transport Economic Improvements Factor Driven Efficiency Driven Innovation Driven Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Transport Goals by the Public Sector (under construction) Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Passengers Mobility Transition Rural Industrial Post-Industrial (Services) Motorized Individual Share of Mobility Collective Non-motorized Economic Development Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Relationship between GDP and Motorization, Selected Asian Countries, 1960-1990 Source: adapted from R. Carruthers (2003) The Impacts of Motorization and What Can Be Done to Mitigate Them, The World Bank. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Share of Consumption by Sector and Income, Developing Countries, 2010 Source: World Bank. http://datatopics.worldbank.org/consumption/ Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Transport Spending as Share of GDP, Selected Countries 2005 Source: adapted from J. Kauppila, Ten stylized facts about household spending on transport, Statistical Paper 2010-3, September 2010, ITF Paris. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Composition of the GDP, United States, 1991-2013 Source: U.S. Department of Transportation, Bureau of Transportation Statistics, Table 3-9 Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Employment in the Transport Sector, Selected Countries, 1996 Source: US Department of Transportation, BTS, G-7 Countries: Transportation Highlights Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Employment in Transportation, United States, 1990-2010 Source: Bureau of Transportation Statistics, National Transportation Statistics, table 3-23. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Economic Impacts of Transportation Infrastructure Capacity Costs Intermodal Modal CORE Infrastructure level Time Reliability OPERATIONAL Infrastructure level Time frame Accessibility Location GEOGRAPHICAL Local Regional Global Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Road Water / Sewage Infrastructure Level Electricity Radio Cell Phone Per Capita Income Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Cumulative Modal Contribution to Economic Opportunities Industrial Revolution Mass Production Globalization Telecommunications Economic Opportunities Air Roads Railways Maritime shipping Canal shipping Source: adapted from HOP Associates (2005) “Time, mobility and economic growth”, http://www.flexibility.co.uk/issues/transport/time-mobility.htm Horses 1750 1775 1800 1825 1850 1875 1900 1925 1950 1975 2000 2025 2050 Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

World Migration Routes Since 1700 European African (slaves) Indian Chinese Japanese Majority of population descended from immigrants Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Resource-Based Transport Systems Country A Country B Inland load center Gateway Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

World Bank Average Annual Lending by Mode, 2007 Source: World Bank, http://go.worldbank.org/KM9OPODLQ0 Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Wealth Consumption Investment in Transport Infrastructure: Repaving a Sidewalk Before After Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Time Sequence and Nature of Impacts of Transport Investments Positive Negative Lead 2 4 1 Time Sequence 3 5 Lag Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

A Multi-Layer Perspective about Transport and Economic Development Demand Pull Transport Chain Organization Organization of the (multimodal) routing of passengers and freight through the transport system using a mix of transport services and transport infrastructures Transport Service Operations Bus services, rail services, barge services, maritime transport services, trucking, airline services, etc.. . Freight and passenger handling in transport nodes. Transport Infrastructure Transport nodes (e.g. airport, seaport, railway station, intermodal terminal, etc..) and transport links (highways, waterways, rail tracks, pipelines, etc..) Source: adapted from Notteboom, T. and J-P Rodrigue (2007) "Re-assessing Port-Hinterland Relationships in the Context of Global Supply Chains", in J. Wang et al. (eds) Inserting Port-Cities in Global Supply Chains, London: Ashgate. Location Geographical location of origin and destination of movements (multimodal transport chain) Valorisation Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Impact of Recessions on Consumption, Production and Trade Significant Consumption Severe B D A – Basic Goods B – Discretionary Goods C – Durable Goods D – Capital Equipment E – Luxury Goods Decline A E Light None Low High Value of Goods 1 Trade and Production Significant 2 Source: adapted from D. Jacoby (2008) “How should the global financial crisis affect your freight strategy?”, Logistics Digest, December. http://www.bostonstrategies.com/images/BLD_0812.pdf 3 1 – Futures Indexes 2 – Production 3 – Container Volumes 4 – Value of Trade Recession Decline 4 None Sequence Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Lifespan of Main Transport Assets Source: data from Living Planet Report, 2006 and Summary result of second Eurostat questionnaire on CFC on public infrastructure, DOC.CFC 15, Eurostat, 2003. http://www.footprintnetwork.org/download.php?id=303 Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Long Wave Cycles of Innovation Water power Textiles Iron Mechanization Commerce Steam Rail Steel Cotton Digital networks Software New Media Biotechnology Electricity Chemicals Internal combustion engine Petrochemicals Electronics Aerospace Pace of innovation Source: Adapted from Hargroves and Smith (2005). 1st Wave 2nd Wave 3rd Wave 4th Wave 5th Wave 1785 60 years 1845 55 years 1900 50 years 1950 40 years 1990 30 years (?) Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

The Five Waves of Development First wave (1785-1845) Beginning of the industrial revolution (England). Agricultural surpluses, savings and investment. Productivity growth in agriculture and in new industrial activities. Textiles, iron and water power. Second wave (1845-1900) Acceleration in the generation of surpluses. Growth in the investment level (5 to 10% of the national income). Coal, steam engine and railways. Third wave (1900-1950) Phase of maturity (investment levels at 20% of national income). Electricity, chemicals and internal combustion engine. Fourth wave (1950-1990) Mass consumption society (surpluses, savings and investment). Tertiary sector taking a growing share of the economy. Petrochemicals, electronics and aviation. Fifth wave (1990-2020?) Technology and information are the driving forces. De-industrialization of several developed countries. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Diffusion Cycle of Containerization Diffusion Level Niche markets Maturity Massive diffusion Network complexities Peak Growth New (niche) services Productivity gains Acceleration Network development Productivity multipliers Adoption Time Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Containerization as a Diffusion Cycle: World Container Traffic (1980-2012) and Scenarios to 2015 Adoption Acceleration Peak Growth Maturity 1966-1992 1992-2002 2002-2008 2008 - Reference Real Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Technology “Hype” Cycle Inflated expectations Productivity peak Utility Delusion Visibility Learning curve Source: adapted from Gartner Inc. Introduction Abandonment Hype Phase Realization Phase Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Cycles, Space and Transportation Spatial Diffusion of a Transport System D Adoption Level Space C B A C2 Spatial diffusion C1 Time Global Regional Geographical system A B C D Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Business Cycles and Misallocations Credit-Driven Boom Normal Cycle Peak Credit-Driven Bust Credit-Driven Cycle Trough Expansion Recession Expansion Depression Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Institutional investors Main Stages in a Bubble “New Paradigm”!!! Valuation Denial Delusion Return to “normal” Greed Bull trap Institutional investors Public Fear Smart Money Enthusiasm Capitulation Media attention Return to the mean First Sell off Bear trap Take off Despair Mean Stealth Phase Awareness Phase Mania Phase Blow off Phase Time Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Factors behind the Development of Transport Systems Scale Environmental Historical Technological Political Economic Local Hydrography and geomorphology Culture and settlement patterns Roads Zoning Employment Regional Altitude Colonies Railways and canals Taxation and regulations Modal competition and complementarity Continental Distance Colonialism / imperialism Sea routes Trade agreements Markets Global Oceanic masses Globalization Air transport and tele-communications Multilateral agreements (WTO) Interdependency and comparative advantages Source: Adapted from B. Hoyle and J. Smith (1998) “Transport and Development: Conceptual Frameworks”. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Transport Impacts on Market Opportunities Transport Improvements Commodity Market Labor Market Expansion New Activities Source: Adapted from Goodbody Economic Consultants (2003) Transport and Regional Development. http://www.irishspatialstrategy.ie/docs/pdf/Transport%20and%20Regional%20Development.pdf Growth Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Economic Production and Specialization Self Reliance Region A Region B Regional Trade Trade and Transport International Trade Trade and Transport Product A Product B Product C Gateway Product D Product E Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Transportation and the Economy Transport Infrastructure Investment Additional Transport Capacity, Efficiency, Reliability and Level of Service Lower Transport Costs Shorter Transit Times Business Expansion Increased Productivity Source: adapted from ICF Consulting (2002) Economic Effects of Transportation: The Freight Story. http://www.icfconsulting.com/Publications/doc_files/FHWA%20Freight%20Story.pdf Increased Competitiveness Economic Growth Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Just in Time and its Logistics Delivery units for parts Production unit Delivery units for goods Warehousing Assembly line Assembly and warehousing Moving storage units Moving storage units Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Economic Opportunities According to Automobile Ownership With automobile E2 Without automobile E1 CR(B) H E3 CR(A) Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Concept 3 Transport Costs Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Components of Transport Cost Transaction Costs Friction of Space A B Shipment Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Household Expenditures on Transport, United States, 2005 Source: BLS Consumer Expenditure Survey, Bureau of Labor Statistics. Available at: http://www.bls.gov/cex/ Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Fixed and Operating Transport Costs Mode Fixed/Capital Costs Operating Costs Rail or Highway Land, Construction, Rolling Stock Maintenance, Labor, Fuel Pipeline Land, Construction Maintenance, Energy Air Land, Field & Terminal Construction, Aircraft Maintenance, Fuel, Labor, Airport Charges Maritime Land for Port Terminals, Cargo Handling Equipment, Ships Maintenance, Fuel, Labor, Port Charges Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Conditions Affecting Transport Costs Factors Examples Geography Distance, physiography, accessibility Shipping between France and England vs. shipping between France and the Netherlands Type of product Packaging, weight, perishable Shipping coal Shipping flowers or wine Economies of scale Shipment size A 747 compared to 737 (passengers) Post-Panamax compared to Panamax (freight) Trade imbalance Empty travel Trade between China and the United States Infrastructure Capacity, limitations, operational conditions The Interstate Mode A bus compared to a car Competition and regulation Tariffs, safety, ownership The European Union, The Jones Act Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Truck Transport Cost Components, North America, 2005 Cost Share Range Driver 27 to 36% Fuel 18 to 24% Administration and Interest 13 to 14% Equipment Ownership 7 to 12% Repairs Insurance 3% Tires 2 to 4% Miscellaneous (Licenses, Cleaning, etc.) 2 to 3% Margin 5% Source: Transport Canada, Operating Costs of Trucks In Canada 2005, T8080-05-0242 Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Freight Transportation Service Spectrum High Low Air Cargo Truck Rail Intermodal Rail Carload Rail Unit Water $1.5 / lbs 5 - 10¢ / lbs 3¢ / lbs 1¢ / lbs 0.5 - 1¢ / lbs 0.5¢ / lbs Fastest, most reliable and most visible. Lowest weight, highest value and most time-sensitive cargo. Fast, reliable and visible. Range of weight and value. Rail intermodal competitive with truck over longer distances. Slower, less reliable and less visible. Highest weight, lowest value and lest time-sensitive cargo. Source: adapted from Global Insight, Inc., TRANSEARCH database, and U.S. Department of Transportation Freight Analysis Framework data. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Different Friction of Distance Functions 1 2 Zone Change Costs Fixed Costs Distance 3 4 Transshipment Costs (b) (a) Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Different Components of Transport Time Timing Distance Punctuality Frequency Source: adapted from Woxenius, J. (2006) “Temporal elements in the spatial extension of production networks”, Growth and Change, Vol. 37, No. 4, pp. 526-549. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Freight Transport Revenue per Ton-Mile (in 2006 dollars) Source: U.S. Department of Transportation, Bureau of Transport Statistics, National Transportation Statistics, 2009. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

First and Last Mile Unit Cost Structure Unit Transport Costs Transport sequence “First Mile” “Last Mile” Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Letters of Credit and Bills of Lading in Commercial Transactions 1 2 Seller’s Bank Buyer’s Bank Seller’s Bank Buyer’s Bank Letter of Credit Seller Buyer Seller Buyer Bill of lading Contract Shipper Shipper Consignment Payment Seller’s Bank Buyer’s Bank Seller’s Bank Buyer’s Bank Source: adapted from: http://en.wikipedia.org/wiki/Letter_of_credit Seller Bill of lading Buyer Seller Buyer Bill of lading Shipper Shipper Consignment 3 4 Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Selected International Commercial Terms (Incoterms) Loading Location Port of Origin Port of Destination Unloading Location Insurance EXW Buyer’s cost / risk FCA FAS Seller’s cost / risk FOB Source: Adapted from International Chamber of Commerce. CFR CIF CIP Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Maritime Dry Bulk Costs, 1870-2000 Source: adapted from Lundgren, N.G. (1996) "Bulk trade and maritime transport costs: The evolution of global markets", Resources Policy, Vol. 22, No. 1, pp. 5-32. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Cost / Performance Relationships for Inland Freight Transportation Modes Air LTL Truckload Cost Intermodal Source: Zumerchik, J., J-P Rodrigue and J. Lanigan Sr., (2009) "Automated Transfer Management Systems to Improve the Intermodal Performance of North American Rail Freight Distribution", The Journal of the Transportation Research Forum, Vol. 48, No. 3, pp. 59-76. Intermodal Potential Rail Carload Barge/Short Sea Performance (Speed, Reliability, Flexibility) Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Shipment Size and Transport Costs Source: P.O. Roberts, “Logistics and Freight Transportation: Review of Concepts Affecting Bulk Transportation”. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Top 10 Commodity Groups Ranked by Value Per Ton, United States, 2002 Source: U.S. Department of Transportation, Bureau of Transportation Statistics, based on data from the preliminary 2002 Commodity Flow Survey data, January 2004. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Transport Costs by Industry Type, 1999 Source: Transport Satellite Accounts. US Department of Transportation, 1999. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Share of Transport Costs in Product Prices Source: Adapted from US Department of Commerce. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Share of Transport Costs in Product Prices and Average Haul Length Source: Adapted from US Department of Commerce. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Average Length of Haul by Major Commodity Group, 2002 (in miles) Source: U.S. Department of Transportation, Bureau of Transportation Statistics, based on data from the Preliminary 2002 Commodity Flow Survey data, January 2004. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Typical Ocean Freight Costs for some Products (Asia – United States or Asia – Europe) Typical Shelf Price Shipping Costs Shipping Costs Share LCD TV Set $700 $4.00 0.5% Digital Camera (high range) $450 $0.15 0.03% Vacuum Cleaner $150 $1.00 0.6% Scotch Whisky (bottle) $50 0.3% Coffee (1 kg) $15 3.3% Biscuits (Tin) $3 $0.05 1.7% Beer (Can) $1 $0.01 1.0% Apple $0.75 $0.04 5.3% Source: ISL Shipping Statistics Yearbook 2003. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Baltic Dry Index, Monthly Value, 1985-2014 Source: Bloomberg. http://www.bloomberg.com/quote/BDIY:IND/chart. Value as of first business day of the month. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Maritime Freight Rates (Nominal USD per TEU), 1993-2009 Source: UNCTAD, Review of Maritime Transport, Various years. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Maritime Transportation Rates for a 40 Foot Container between Selected Ports, 2010 Rotterdam New York 1,810 2,520 2,620 1,400 LA/LB Shanghai 3,060 3,700 1,830 1,070 4,340 2,750 2,550 1,570 3,690 Eastbound / Northbound 2,880 3,480 1,770 3,670 Santos $1,000 $1,200 Durban 3,810 3,340 Melbourne Source: Drewry Shipping Consultants. Note: Rates are for full container loads and include the base ocean shipping rate, port charges both at origin and at destination, fuel surcharges and all other surcharges. Westbound / Southbound Paths are approximate Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Average Cost per TEU by Containership Capacity and By Route, 1997 Source: Cullinane, K. and M. Khanna (2000) “Economies of Scale in Large Containerships”, Journal of Transport Economics and Policy, Vol. 33, pp. 185-207. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Studies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Daily Operating Expenses for Containerships per TEU Source: Alphaliner. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Freight Rates in TEU Between Singapore and Rotterdam Source: Germanischer Lloyd. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Container Shipping Costs Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Port Cost Components Harbor Side Land Side Marine Service Costs Port Dues Terminal Handling Charges Cargo Dues Land Side Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Port Cost Components and Total Port Pricing per TEU (USD), 2012 Terminal Handling Charges Cargo Dues Port Dues Marine Service Costs Harbor Side Land Side Source: Ports Regulator of South Africa Container Port Tariff Comparator Study (2012). Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Cost to Import a 20 Foot Container, 2012 Source: World Bank, Doing Business project. http://www.doingbusiness.org/ Note: Cost measures the fees levied on an imported 20-foot container in U.S. dollars. These include costs for documents, administrative fees for customs clearance and technical control, customs broker fees, terminal handling charges and inland transport. The cost measure does not include tariffs or trade taxes. Only official costs are recorded. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Logistics Costs and Average Transit Time of a 20 Foot Container, Mombasa – Nairobi (Kenya) Unloading (+2 hours) Weight station (+3 hours) Source: CPCS Transcom (2010) Analytical Comparative Transport Costs Study Along the Northern Corridor Region. Police checks (+ 2 hours) Other driver delays (+11 hours) Weight station (+3 hours) Mombasa Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Estimates of Total Imports Freight Costs Relative to Imports (CIF), 1997 Source: Clark, X., D. Dollar, and A. Micco (2004) Port Efficiency, Maritime Transport Costs and Bilateral Trade, World Bank, http://www.nber.org/books/IASE11-03/clark-et-al2-28-04.pdf. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Zonal Freight Rates I II III IV Real transport cost Flat zonal rate D1 Flat zonal rate D2 Costs I II III IV Distance Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Fixed and Variable Costs and Service in the Transportation System Characteristic Fixed Infrastructure Variable Costs Examples Highways, rail tracks, airports, ports Trucks, railcars, planes, ships Ownership Mostly public Mostly private Lifespan Very long (decades) Short to average (5 to 20 years) Rate of change Slow Rapid redeployment Impact on service Shapes accessibility Shapes level of service Competition Level the playing field Source of comparative advantages Source: adapted from J. Cortright (2001) Transportation, Industrial Location and the New Economy: How Will Changes in Information Technology Change the Demand for Freight Transportation and Industrial Location? Impresa Inc., March. http://www.marshall.edu/ati/tech/PortlandConference/unchangedPDFs/Portland_Cortwright.pdf Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Retail Gasoline Prices and Annual Vehicle Mileage, United States, 1960-2010 2001-2010 1986-2000 1979-1985 Source: BTS for miles travelled. EIA for gasoline prices (2005 dollars). Leaded gasoline prices before 1980, unleaded gasoline afterwards. 1960-1978 Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Concept 4 Transportation Supply and Demand Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Transport Supply and Demand Aij i j Modal Supply Intermodal Supply Transport Demand Tij i j Realized Demand Potential Demand Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Ton-Miles of Transported Freight, United States, 1960-2009 (millions) Source: BTS-RITA, National Transportation Statistics Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Passenger-Miles Transported within the United States, 1960-2011 Source: BTS-RITA, National Transportation Statistics. 1960-99 data are for Passenger Cars and Other 2-axle, 4-tire vehicles, respectively. Data for 1960-99 are not comparable to data for 2000-10. The change in 2000 mostly reflects the inclusion of sport utility vehicles within the car category. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Growth Factors in Transport Demand Passengers Freight Passenger or ton-kms Growth in production and consumption. Income growth. Quantity of Passengers or Freight Outsourcing / Offshoring. Economic specialization. Suburbanization. KM Average Distance Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Factors behind Freight Transport Demand Economy General derived demand impact. Linked with the GDP. Function of the structure of the economy in terms of resources, goods, and services. Industrial location Effect on ton-kms and on modal choice. Spatial Structure Effect on ton-kms. Function of international trade structure. Containerization and intermodal transportation. International Agreements Both concerning trade and transportation. Economic specialization. Increased transborder traffic. Simplified custom procedures. JIT practices and warehousing Decreased inventories. More shipments. Smaller line hauls. Shift to faster and more reliable modes. Use of 3rd party logistics providers. Strategic alliances Between carriers, shippers and often producers and retailers. Lower distribution costs. Packaging and recycling Increased transportability of products. Lower freight density. Reverse distribution. Regulation and deregulation Increased competition, level of service and lower costs. Growth of intermodal transportation. Fuel costs, taxes and subsidies Large and volatile cost components, specifically for energy intensive modes. Preferred mode or carrier. Infrastructure and congestion Efficiency, operating costs and reliability. Safety and environmental policies Operating speed, conditions and costs. Capacity and weight limits. Technology Containerization, double-stacking, automation and robotics, handling and interchange systems and automated terminals. Information systems (IDE). Lower costs, increased efficiency and reliability and new opportunities. Source: adapted from Cambridge Systematics (1996) Quick Response Freight Manual, Federal Highway Administration, Office of Planning and Environment Technical Support Services for Planning Research, http://tmip.fhwa.dot.gov/clearinghouse/docs/quick/Quick.pdf Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Share of Total Domestic Freight Activity by Mode, G7 Countries, 1996 Source: BTS. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Share of Total Domestic Passenger Activity by Mode, G7 Countries, 1996 Source: BTS. Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Static and Dynamic Capacity of Transport Infrastructure Optimum nominal capacity Dynamic Capacity Technical and Managerial Improvement A Facility Expansion Static Capacity Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Major Supply Variables for Transportation Modes Road Rail Air Maritime Lanes Width Speed limit Tracks Grade Corridors Canals Locks Routes Parking Yards Transshipment Runways Dockways Docks Transshipment Terminals Speed Passengers Tonnage Speed Passengers Tonnage Speed Passengers Tonnage Speed Tonnage Vehicles Atmospheric Conditions Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Impacts of Modal Competition and Intermodal Capacity on Transport Supply C = T(A) + T(B) C T(A) Mode B Traffic Mode A T(B) Assignment Intermodal Capacity C(A) C(B) Capacity T(AB) = C(B) Terminal A Terminal B Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Classic Transport Demand / Supply Function Cost Supply Demand S1 D S2 Equilibrium C1 C2 Traffic T1 T2 Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Road Transport Elasticity by Activity 100% Emergency Commuting Major Purchase Traffic Special Event Source: Adapted from Victoria Transport Policy Institute (2002) Transportation Elasticities, http://www.vtpi.org/tdm/tdm11.htm. Social Activities Recreation 0% Cost Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Transport Supply, Demand and Travel Time Transport supply (A) Traffic Transport Demand (T) Morning peak Afternoon peak T<A Travel time T>A Time of the Day Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Transportation Yield Management Rate / Fare / Toll Operating costs Full None t Remaining capacity Remaining time before scheduled capacity Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.

Average Price of a Domestic Airfare Based on Advance Purchase, United States, 2013 Source: Data from CheapAir.com. http://www.cheapair.com/blog/travel-tips/when-should-you-buy-your-airline-ticket-heres-what-our-data-has-to-say/ Copyright © 1998-2015, Dr. Jean-Paul Rodrigue, Dept. of Global Economies & Geography, Hofstra University. For personal or classroom use ONLY. This material (including graphics) is not public domain and cannot be published, in whole or in part, in ANY form (printed or electronic) and on any media without consent. This includes conference presentations. Permission MUST be requested prior to use.