Office of Operations Freight Management and Operations
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Cost Benefit Analysis

The Office of Freight Management and Operations sponsors economic research on the benefits and costs of transportation improvements and the development of new and better methods for making investment decisions. Research and analysis undertaken by FHWA are highlighted here.

Benefit Cost Study

The Freight Benefit/Cost Study project has gone through three phases of development. Phase I focused on developing the theory and logic. Phase II determined the sensitivity of a firm to infrastructural investment on a national level. Phase III established the approach, sensitivities and data inputs required to calculate long-term benefits of highway-freight infrastructural investment on a regional level and will investigate the construction of a tool for state and local entities to estimate additional benefits derived through logistics rearrangements from highway performance improvements.

  • Freight Benefit/Cost Study: Capturing the Full Benefits of Freight Transportation Improvements (Phase I) [HTML, PDF 385KB]
  • Benefit Cost Analysis of Highway Improvements in Relation to Freight Transportation: Microeconomic Framework (Phase I) [HTML, PDF 1.27MB]
  • Freight Benefit/Cost Study: Compilation of the Literature (Phase I) [HTML, PDF 902KB]
  • FHWA Freight BCA Study: Summary of Phase II Results (Phase II)
  • Freight Benefit/Cost Study: Phase III - Analysis of Regional Benefits of Highway-Freight Improvements (Phase III) [HTML, PDF 513KB]

Benefits Estimation Tool

The Highway Freight Logistics Reorganization Benefits Estimation Tool estimates total benefits associated with highway investment by establishing a relationship between elasticity of demand with respect to highway performance, elasticity of demand with respect to price, a set of other region-specific variables, and the conventionally measured freight benefits resulting from travel time savings and other user benefits.

  • Highway Freight Logistics Reorganization Benefits Estimation Tool Report and Documentation

Related Topics

Staff Contact

Nicole Katsikides
202-366-6993
Nicole.Katsikides@dot.gov

Ed Strocko
202-366-2997
Ed.Strocko@dot.gov

Office of Operations