THE GEOGRAPHY OF TRANSPORT SYSTEMS
| Direct Transport Supply | Direct Transport Demand | Indirect Microeconomic | Indirect Macroeconomic |
|
Income from transport operations (fares and wages) Access to wider distribution markets and niches |
Improved accessibility Time and cost savings Productivity gains Division of labor Access to a wider range of suppliers and consumers Economies of scale |
Rent income Lower price of commodities Higher supply of commodities |
Formation of distribution networks Attraction and accumulation of economic activities Increased competitiveness Growth of consumption Fulfilling mobility needs |
Source: adapted from the European Conference of Ministers of Transport.
There are a wide range of economic benefits conveyed by transportation systems, some direct (income related) and some indirect (accessibility related), impacting transport supply and demand and at the microeconomic (sector-wise) and macroeconomic (whole economy) levels. The matter remains about what is the extent of the economic benefits for specific modes and locations.