CALIFORNIA STATE POLYTECHNIC Course Title: of Transportation UNIVERSITY, POMONA EC 433 Date of Preparation: May 2009 Prepared by: Anne Bresnock

COURSE OUTLINE

I. Catalog Description

EC 433 Economics of Transportation (4)

The economic characteristics of , the functions of the different transportation agencies, transportation pricing, problems of state and federal regulation; coordination of facilities; and current transportation problems. 4 lectures/problem-solving sessions. Prerequisites: EC 201 or EC 202.

II. Required Background or Experience

EC 201 or EC 202.

III. Expected Outcomes

Students in EC 433 will:

a) identify and summarize the characteristics, extent of application, and structure of the various modes of transportation in the transportation industry,

b) analyze pricing policies of different modes of transportation,

c) summarize the functions of state and federal transportation agencies,

d) evaluate the impacts of cultural groups on transportation, and the impacts of cultural groups on transportation in the U.S., and

e) identify current transportation problems and possible solutions.

IV. Text and Readings

Texts:

Boyer, K.D. Principles of Transportation Economics (Menlo Park, CA: Addison- Wesley, 1997).

Button, K.J. Transport Economics, 2nd Ed. (Northhampton, MA: Edward Elgar Publishing, 1993).

Economics of Transportation EC 433 Page 2

Coyle, J.J., E. J. Bardi, J.L. Cavinato Transportation 4th Ed. (Boulder, CO: West Publishing, 1995).

Small, K. and E. T. Verhoef Urban Transportation Economics (New York, NY: Routledge, 2007).

Readings:

Alder, H. Economic Appraisal of Transport Projects: A Manual with Case Studies, Revised and Expanded Edition (Baltimore, MD: Johns Hopkins University Press, 1987).

Banister, D. and K. Button, eds. Transport, the Environment and Sustainable Development (New York: E. and F.N. Spon, 1993).

Blauwens, G., P. DeBaere, and E. Van de Voorde Transport Economics, 2nd Ed (Antwerp, BE: Uitgeverij De Boeck, 2007).

Davis, M. G. and W.A. Cunningham A Primer on Finance (Lanham, MD: University Press of America, 1994).

Downs, A. Still Stuck in Traffic: Coping with Peak-Hour (Washington, D.C.: The Brookings Institution, 2004).

Gomez-Ibanez, J. and J.R. Meyer Going Private: The International Experience with Transport Privatization (Washington, D.C.: The Brookings Institution, 1993).

Lochlin, D. P. Economics of Transportation, 7th Edition (Homewood, IL: Richard D. Irwin, Inc., 1972).

O’Conner, W. E. An Introduction to Airline Economics, 6th Ed. (Westport, CT: Greenwood Publishing Group, 2000).

Pierce, R. J., Jr. and E. Gellhorn Regulated Industries in An Nutshell, 4th Edition (Boulder, CO: West Publishing, 1999).

Porter, R. C. Economics at the Wheel: The Costs of Cars and Drivers (New York, NY: Academic Press, 1999).

Sandalow, D. B. Plug-In Electric Vehicles (Washington, D.C.: The Brookings Institution, 2009). Economics of Transportation EC 433 Page 3

Small, K. A. C. Winston and C. A. Evans Work: A New Highway Pricing and Policy (Washington, D.C.: The Brookings Institution, 1989).

Sperling, D. Future Drive (Covelo, CA: Island Press, 1995).

Stock, J. R. and D. M. Lambert Strategic Logistics Management, 4th Edition (Chicago, IL: McGraw-Hill/Irwin, 2001).

The Congress of the United States, Congressional Budget Office High-Tech Highways: Intelligent Transportation Systems and Policy (Washington, D.C.: U.S. Government Printing Office, 1995).

Wells, A. T. Air Transportation: A Management Perspective, 6th Ed. (Williston, VT: Ashgate Publishing Company, 2007).

Wood, D. E. and J. C. Johnson Contemporary Transportation, 5th Ed. (Upper Saddle River, NJ: Prentice-Hall Inc., 1996).

References:

American Economic Review Journal of Economic Inquiry Journal of Industrial Economics Journal of Journal of Regulatory Economics Journal of Transport Economics and Policy Journal of Urban Economics Rand Journal of Economics Transportation Journal Transportation Research Record Yale Journal of Regulation

V. Minimum Student Materials

Textbooks, notebooks and access to library references and computer facilities.

VI. Minimum College Facilities

Classroom suitable for lecture/problem-solving sessions equipped with audio-visual equipment and computer facilities, ie. "smart" classroom.

Economics of Transportation EC 433 Page 4

VII. Course Outline

A. Introduction

1. Economic Significance of Improved Transportation

2. History of Transportation in the United States

3. Impact of the Political Process on Transportation

4. Impact of Improved Transportation on Socialization Process

B. Pricing

1. Freight Rates

2. Freight Rates and Locations of Industries and Markets

C. Railroads

1. Rates

2. Control

3.

4. Long and Short Haul Discrimination

D. Trucks

1. Rates

2. Control

3. Competition

4. Economic Efficiency of Trucks

E. Water Transport

1. Rates

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2. Control

3. Economic Efficiency of Water Transport

4. Competition

F. Impact of Improved Transportation of Various Cultural Groups in the United States

1. Impact on Blacks

2. Impact on Asians

3. Impact on Native Americans

G. Impact of Various Cultural Groups on Transportation in United States

1. Multi-Language Communication

2. Impact of Different Lifestyles on Services Offered

VIII. Instructional Methods

There are four methods of instruction:

a) assigned student readings, b) presentation of lecture, audio-visual, and written material by the professor, c) demonstration of how to prepare a written report concerning a transportation economics issue to guide students in preparation of their term papers, and d) student development of answers to transportation policy issues on two take-home written examinations.

IX. Evaluation of Outcomes

There are two methods of evaluation:

a) two take-home essay examinations concerning the development of transportation policy issues to be no more than 10 pages in length, and

b) a term paper on a transportation economics problem to be no more than 15 pages in length.