|Vol I, Issue 4 April 2005|
Interim Report Looks at Transportation Demand on Upper Mississippi-Illinois Waterways
The functional form used in this study was designed to allow for the identification of the demand for transportation. Using this form, the researchers were able to measure a statistically significant inverse relationship between the prices charged to transport corn on the river and the willingness to offer corn to carriers on the river. These elasticities, however, were determined to be quite small. The paper concludes by reviewing the difference between short run and long run elasticities of demand and by providing some reasons to expect that long run elasticities, which were not measured in the study, should be higher than the short run elasticities that were measured.
“This study is of interest for two very different reasons,” concluded lead researcher Kenneth Boyer, PhD, of Michigan State University. “First, there is ongoing interest in making physical improvements to this particular waterway system, and elasticities of demand are an important element in the valuation of the benefits of infrastructure development. Second, of more technical interest, are lessons that can be learned about practical techniques for freight demand estimation.”
Bruce Lambert Joins NETS Team
Mr. Lambert’s previous positions before joining IWR included stints at the Federal Highway Administration, Standard and Poor’s DRI (now Global Insight) and six years at the Port of Long Beach as the Port’s Trade Analyst. He has a Bachelor’s of Science Degree from Louisiana State University and a Master’s of Science Degree from the University of Tennessee.
Mr. Lambert is currently working on this NETS studies: The Assessment and Development of U.S. Multiport Model.
Biography: Bruce Lambert ( pdf, 25 KB)
NETS Update Presented at National Academy of Sciences Meeting
NETS web site: www.corpsnets.us
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Navigation Economic Technologies Program, US Army Corps of Engineers