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The Economics of Upgrading Seventy-one Branch Rail Lines in Iowa

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  • C. Phillip Baumel
  • John J. Miller
  • Thomas P. Drinka

Abstract

Proposed abandonment of branch rail lines in rural areas has stimulated considerable concern over the impact of abandonment on shippers, receivers, and rural communities. The purpose of this paper is to present estimates of the benefits and the costs of upgrading seventy-one branch rail lines. A benefit-cost analysis is used to compare the net benefits with the net costs of upgrading the rail lines. Separate models are utilized to estimate the benefits to grain shippers, fertilizer shippers, and shippers and receivers of all other products from upgrading the branch lines. Benefit-cost ratios are presented for six alternative solutions.

Suggested Citation

  • C. Phillip Baumel & John J. Miller & Thomas P. Drinka, 1977. "The Economics of Upgrading Seventy-one Branch Rail Lines in Iowa," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 59(1), pages 61-70.
    • Handle: RePEc:oup:ajagec:v:59:y:1977:i:1:p:61-70.
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    File URL: http://hdl.handle.net/10.2307/1239609
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    Citations

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    Cited by:

    1. Koo, Won W. & Marshall, Douglas D., 1985. "Optimal Grain Distribution System and Subterminal Capacity in North Dakota," Agricultural Economics Reports 23422, North Dakota State University, Department of Agribusiness and Applied Economics.
    2. Johnson, Marc A., 1981. "Current And Developing Issues In Interregional Competition And Agricultural Transportation," Southern Journal of Agricultural Economics, Southern Agricultural Economics Association, vol. 13(1), pages 1-10, July.
    3. Chow, Ming H. & Sorenson, L. Orlo & Babcock, Michael W., 1984. "Economic Impacts of Grain Marketing Structural Manses on export Wheat Logistics System in Northwest Kansas," 1984 Annual Meeting, August 5-8, Ithaca, New York 279036, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    4. Johnson, Marc A., 1981. "Impacts On Agriculture Of Deregulating The Transportation System," 1981 Annual Meeting, July 26-29, Clemson, South Carolina 279412, American Agricultural Economics Association (New Name 2008: Agricultural and Applied Economics Association).
    5. Koo, Won W., 1989. "An Economic Analysis of Subterminal Capacity," Journal of the Transportation Research Forum, Transportation Research Forum, vol. 30(1).

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