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tk
67
Second Quarter 2010
A
merica's highways have long been asked to do too much with too
few resources, and now the chickens are coming home to roost. Growth
in demand for scarce space on the roads, along with decades of deferred
maintenance, have led to ever-growing traffic congestion ­ traffic that
has become a major drag on the productivity of the intercity trucking in-
dustry as well as a major source of frustration for commuters who have
no practical alternatives to using their cars.
More money in all the obvious places would help, a reality acknowl-
edged in the Obama administration's stimulus package, which included
$29 billion for highway improvements, $8 billion for mass transit, and
another $8 billion as a down payment on the construction of a handful
of high-speed rail corridors. So, too, would investments in smarter roads
that use a variety of information technologies to minimize bottlenecks.
But in the search for ways to increase the productivity of surface trans-
portation, some of the lowest-hanging fruit is getting short shrift. In par-
ticular, we estimate that every $1 invested in the intermodal transporta-
tion network ­ the infrastructure for seamlessly shifting freight from
truck to rail to ship and back ­ would yield $5 to $8 of benefits in terms
of less congestion, reduced shipping costs and fewer traffic injuries.