Vol II, Issue 9 September 2006

Market Dominance and Pricing in a Spatial Environment: An Empirical Examination of Railroad Pricing with Competitive Pressures
NETS Researchers Kevin E. Henrickson and Wesley W. Wilson, PhD consider railroad pricing of corn shippers located over a spatial environment. A major focus of this study is the intermodal competition between rail and barge. The findings of this analysis suggest that railroad firms do respond to competition from the barge market and this response varies across markets. The magnitudes run to about a 10.3% difference between the rail rate per car of a firm located at a barge loading facility and another firm located 700 miles away from its closest barge terminal. The paper also considers the effects of a variety of variables including barge competition and ethanol fuel.

NETS Research to be Highlighted at the Annual Meeting of the American Economic Association
Recent NETS research will be presented at this year’s annual meeting of the American Economic Association to be held in Chicago January 4-7, 2007. In a joint session held by the American Economic Association and the Transportation and Public Utilities Group (TPUG), presenting research will be Professors Kenneth Train, Wesley Wilson, Bruce Blonigen, Simon Anderson, Charles Plott, and Joe Cooke. They will be presenting on a variety of research related to demand modeling, transportation networks, and the role of port, spatial equilibrium, and nonstructural solutions to congestion on the waterways. The session will be moderated by NETS Technical Director Keith Hofseth.

For more information on the program, registration, conference location, and other meeting information, visit the program website at You are leaving a Federal Government web site. Click this icon for more information.and the Transportation and Public Utilities Group (TPUG) at

IWR and U.S. Department of Agriculture Economic Research Service Meet
IWR and the U.S. Department of Agriculture Economic Research Service team members met in July to discuss the IWR-USDA working agreement and to identify prior work and future collaborative work efforts related to transportation economic studies.  (The  meeting coincided with the first anniversary of the MOU between USDA and IWR on working on common data and economic analytical tools.)  The group discussed work on specific products, such as GIS tools and analysis, the Regional Routing Model, data standards and architecture, and Input/Output models as related to transportation studies.  The group outlined ways to both share information between each agency but also the potential release of deliverables for general release. The meeting also identified areas of interest for the upcoming RRM review meeting in Washington, D.C.

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