IDEAS home Printed from https://ideas.repec.org/p/ces/ceswps/_4601.html
   My bibliography  Save this paper

TransNIEMO: Economic Impact Analysis Using a Model of Consistent Interregional Economic and Network Equilibria

Author

Listed:
  • JoongKoo Cho
  • Peter Gordon
  • James E. Moore II
  • Qisheng Pan
  • JiYoung Park
  • Harry W. Richardson

Abstract

We describe a model that integrates a multi-regional input-output model of the U.S. (50 states and the District of Columbia) with the national highway network. Interstate commodity shipments are placed on a congestible highway network. Simulations of major choke-point disruptions redirect traffic which increases the costs of some shipments. Increased costs show up in higher prices which help to determine a new input-output equilibrium. We find economic and network equilibria that are consistent. The simulations show only moderate economic impacts. We ascribe this to the resilience of highway network. The model provides state-level detail on who bears the costs of the disruptions.

Suggested Citation

  • JoongKoo Cho & Peter Gordon & James E. Moore II & Qisheng Pan & JiYoung Park & Harry W. Richardson, 2014. "TransNIEMO: Economic Impact Analysis Using a Model of Consistent Interregional Economic and Network Equilibria," CESifo Working Paper Series 4601, CESifo.
    • Handle: RePEc:ces:ceswps:_4601
    as

    Download full text from publisher

    File URL: https://www.cesifo.org/DocDL/cesifo1_wp4601.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Winston, Clifford & Langer, Ashley, 2006. "The effect of government highway spending on road users' congestion costs," Journal of Urban Economics, Elsevier, vol. 60(3), pages 463-483, November.
    2. repec:rri:bkchap:04 is not listed on IDEAS
    3. Tschangho John Kim & Heejoo Ham & David E. Boyce, 2002. "Economic impacts of transportation network changes: Implementation of a combined transportation network and input-output model," Economics of Governance, Springer, vol. 81(2), pages 223-246, April.
    4. Heejoo Ham & Tschangho John Kim & David E. Boyce, 2002. "Economic impacts of transportation network changes: Implementation of a combined transportation network and input-output model," Papers in Regional Science, Springer;Regional Science Association International, vol. 81(2), pages 223-246.
    5. Geoffrey J. D. Hewings & Michael Sonis & David Boyce (ed.), 2002. "Trade, Networks and Hierarchies," Advances in Spatial Science, Springer, number 978-3-662-04786-6.
    6. William H. Miernyk, 1965. "The Elements of Input-Output Analysis," Wholbk, Regional Research Institute, West Virginia University, number 04, Fall.
    7. Park, JiYoung & Cho, JoongKoo & Gordon, Peter & Moore, James E. & Richardson, Harry W. & Yoon, SungSu, 2011. "Adding a freight network to a national interstate input–output model: a TransNIEMO application for California," Journal of Transport Geography, Elsevier, vol. 19(6), pages 1410-1422.
    8. Marguerite Frank & Philip Wolfe, 1956. "An algorithm for quadratic programming," Naval Research Logistics Quarterly, John Wiley & Sons, vol. 3(1‐2), pages 95-110, March.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Euijune Kim & Geoffrey J.D. Hewings & Hidayat Amir, 2015. "Project Evaluation of Transportation Projects: an Application of Financial Computable General Equilibrium Model," ERSA conference papers ersa15p453, European Regional Science Association.
    2. Giuseppe Francesco Gori & Renato Paniccià, 2015. "A structural multisectoral model with new economic geography linkages for Tuscany," Papers in Regional Science, Wiley Blackwell, vol. 94, pages 175-196, November.
    3. Euijune Kim & Geoffrey Hewings & Chowoon Hong, 2004. "An Application of an Integrated Transport Network- Multiregional CGE Model: a Framework for the Economic Analysis of Highway Projects," Economic Systems Research, Taylor & Francis Journals, vol. 16(3), pages 235-258.
    4. Amin, Shohel & Tamima, Umma & Amador-Jiménez, Luis E., 2019. "Optimal pavement management: Resilient roads in support of emergency response of cyclone affected coastal areas," Transportation Research Part A: Policy and Practice, Elsevier, vol. 119(C), pages 45-61.
    5. He, Peijun & Ng, Tsan Sheng & Su, Bin, 2019. "Energy-economic resilience with multi-region input–output linear programming models," Energy Economics, Elsevier, vol. 84(C).
    6. Tomoki Ishikura & Fuga Yokoyama, 2022. "Regional economic effects of the Ring Road project in the Greater Tokyo Area: A spatial CGE approach," Papers in Regional Science, Wiley Blackwell, vol. 101(4), pages 811-837, August.
    7. Jenelius, Erik & Mattsson, Lars-Göran, 2012. "Road network vulnerability analysis of area-covering disruptions: A grid-based approach with case study," Transportation Research Part A: Policy and Practice, Elsevier, vol. 46(5), pages 746-760.
    8. Yantao Huang & Kara M. Kockelman, 2020. "What will autonomous trucking do to U.S. trade flows? Application of the random-utility-based multi-regional input–output model," Transportation, Springer, vol. 47(5), pages 2529-2556, October.
    9. Alan T. Murray & Timothy C. Matisziw & Tony H. Grubesic, 2008. "A Methodological Overview of Network Vulnerability Analysis," Growth and Change, Wiley Blackwell, vol. 39(4), pages 573-592, December.
    10. Haitao Yu, 2018. "A review of input–output models on multisectoral modelling of transportation–economic linkages," Transport Reviews, Taylor & Francis Journals, vol. 38(5), pages 654-677, September.
    11. Ichihara, Silvio Massaru & Guilhoto, Joaquim José Martins & Imori, Denise, 2009. "Combining geoprocessing and interregional input-output systems: An application to the State of São Paulo in Brazil," MPRA Paper 30696, University Library of Munich, Germany.
    12. Jie Zhang & Meng Lu & Lulu Zhang & Yadong Xue, 2021. "Assessing indirect economic losses of landslides along highways," Natural Hazards: Journal of the International Society for the Prevention and Mitigation of Natural Hazards, Springer;International Society for the Prevention and Mitigation of Natural Hazards, vol. 106(3), pages 2775-2796, April.
    13. Ichihara, Silvio Massaru & Guilhoto, Joaquim José Martins & Imori, Denise, 2008. "Geoprocessing and estimation of interregional input-output systems an application to the state of Sao Paulo in Brazil," MPRA Paper 54036, University Library of Munich, Germany.
    14. Tuzun Aksu, Dilek & Ozdamar, Linet, 2014. "A mathematical model for post-disaster road restoration: Enabling accessibility and evacuation," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 61(C), pages 56-67.
    15. Ham, Heejoo & Kim, Tschangho John & Boyce, David, 2005. "Implementation and estimation of a combined model of interregional, multimodal commodity shipments and transportation network flows," Transportation Research Part B: Methodological, Elsevier, vol. 39(1), pages 65-79, January.
    16. Leurent, Fabien & Windisch, Elisabeth, 2015. "Benefits and costs of electric vehicles for the public finances: An integrated valuation model based on input–output analysis, with application to France," Research in Transportation Economics, Elsevier, vol. 50(C), pages 51-62.
    17. Tsubasa Shibata & Takashi Yano & Hiroyuki Kosaka, 2011. "The Effect of Transportation System on the Economic Growth of the Japanese Economy 1965-2000: using nine region inter-regional IO model," ERSA conference papers ersa10p517, European Regional Science Association.
    18. Muhammad Abdullah Khalid & Yousaf Ali, 2020. "Economic impact assessment of natural disaster with multi-criteria decision making for interdependent infrastructures," Environment, Development and Sustainability: A Multidisciplinary Approach to the Theory and Practice of Sustainable Development, Springer, vol. 22(8), pages 7287-7311, December.
    19. Zhao, Yong & Kockelman, Kara M., 2004. "The random-utility-based multiregional input-output model: solution existence and uniqueness," Transportation Research Part B: Methodological, Elsevier, vol. 38(9), pages 789-807, November.
    20. Ham, Heejoo & Kim, Tschangho John & Boyce, David, 2005. "Assessment of economic impacts from unexpected events with an interregional commodity flow and multimodal transportation network model," Transportation Research Part A: Policy and Practice, Elsevier, vol. 39(10), pages 849-860, December.

    More about this item

    Keywords

    multi-regional input-output model; highway network; interstate commodity shipments; highway infrastructure failure;
    All these keywords.

    JEL classification:

    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • R13 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General Equilibrium and Welfare Economic Analysis of Regional Economies
    • R15 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Econometric and Input-Output Models; Other Methods
    • R40 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - General
    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise
    • R49 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Other

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ces:ceswps:_4601. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Klaus Wohlrabe (email available below). General contact details of provider: https://edirc.repec.org/data/cesifde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.