Edit post

Edit your reply below.

Post Body
Enter your post below.
[quote user="oltmannd"] [quote user="V.Payne"]However, most people do not understand the pyramid effect of roadway financing and the degree to which it masks the costs on the intercity routes. That is the main point of the paper above. A lot of people think that an Economic Benefit to Cost ratio > 1.0 ,means the project pays for itself without realizing that only a financial analysis of what the users are paying for a particular project will give you this answer. Take a look at FHWA version of a Financial analysis, it basically looks like a draw schedule for a loan, it is not a statement of profitability. Do you wonder why it is not a profit/loss format?[/quote] I am a big fan of moving forward putting transportation capacity expansion projects on the same footing. Whether we got to where we are in a "fair" manner or not is really all water under the bridge.  I-79, I-89, I-94 and I-99 all exist whether there was a really good economic case for them when they were built, or not.  I doubt there is any political or popular will to abandon any of these roads even if you can show the NPV of the ongoing costs exceed the NPV of the economic benefits.  There really isn't an option for a "do over" or a "make up call". The big issue is how to we accommodate growth?  Queue up the alternatives, do the math (including sensitivity analysis) and rank'em.  May the best bang of the buck win! [/quote] Amen
Tags (Optional)
Tags are keywords that get attached to your post. They are used to categorize your submission and make it easier to search for. To add tags to your post type a tag into the box below and click the "Add Tag" button.
Add Tag