The Transportation Challenge: Moving the US Economy

Transportation plays a critical role in the nation’s economy. This report examines the relationships between transportation investment and long-term economic productivity, growth, and competitiveness. Section 1.3 begins with a brief summary of the literature addressing the effects on the economy resulting from investments in transportation infrastructure. Following that,

• Section 2.0: The Economy and Transportation examines the changing structure of  the U.S. and global economies. The U.S. economy is rapidly becoming a services- and knowledge-based economy supported by a large and increasingly automated manufacturing sector. Much of the developed and developing world also is moving in this direction. These structural changes in the U.S. and global economy are changing the demand for transportation.

• Section 3.0: Industries and Transportation explores changes in four major sectors of the U.S. economy—manufacturing, retail, services, and agriculture and natural resources—looking at how they use transportation today and how the nation’s transportation systems are helping and hindering them. It also examines the transportation industry itself.

• Section 4.0: Transportation Systems and Services reports on the performance of the nation’s transportation systems—the condition and performance of the highway, public transit, rail, port, and waterway systems that serve international trade, national production and distribution, urban commuting, and business and recreational travel.

• Section 5.0: Emerging Transportation Policies and Programs reviews the emerging transportation visions and proposals for new federal surface transportation programs. Section 6.0: Conclusions and Next Steps presents the conclusions of the study with recommendations for next steps by the U.S. Chamber of Commerce.