Benefit-cost analysis (BCA) is a valuable and widely used tool. To reduce the odds of misuse, this report probes some important methodological issues, especially as they relate to transport projects. The discussion is relatively non-technical and draws on case studies. The issues examined include claims that transport projects fail to measure certain benefits: employment creation, regional development, logistic adaptations and 'positive externalities'. Also examined are the choice of discount rate, the treatment of taxes, the valuation of travel time, multi-criteria analysis as an alternative to BCA, and the role of national economic models.

• Facts and Furphies in Benefit-Cost Analysis: Transport
  
  report_100.pdf
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Regional airlines can be a lifeline in remote parts of Australia. Competitiveness is an important issue in the regional aviation industry. Although regional aviation has undergone deregulation in most jurisdictions over the last decade, many single-operator routes still exist. The impact of deregulation on air services in regional Australia is an issue of interest to all levels of Government, to the passengers who use regional airlines, and to the regional airlines themselves.

• Regional Aviation Competitiveness
  
  wp_041.pdf
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The financial crisis, which struck the Asian region in 1997, had many profound and far-reaching consequences for both the countries involved and the world as a whole. This study examines one aspect of the impact of the crisis on Australia the adequacy of the air freight network to carry Australian exports to Asian markets. Air freight exports are predominantly carried in the belly-holds of passenger aircraft. This study examines the contraction in passenger markets resulting from the financial crisis and analyses the implications for air freight exports. It also examines the demand for Australian air exports and constructs an air freight supply and demand scenario for twelve Asian countries. The study was completed for the Cross-Modal and Maritime Transport Division of the Department of Transport and Regional Services in response to questions raised by the Transport and Logistics Working Group of the Supermarket to Asia Council concerning perceptions of the availability of export air freight capacity to Asian markets.

• The Supply of Air Freight Capacity to Asian Markets
  
  wp_042.pdf
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This report presents the results of a Bureau of Transport Economics project on the regional impact of ports. It includes a general framework for undertaking port impact studies in Australia and a case study that applies the framework to the Port of Fremantle, Western Australia. By measuring both direct and flow-on effects, the case study estimated that the Port of Fremantle was responsible for 0.8% of all employment in Western Australia, with a value added contribution of 0.9% to Western Australia's Gross State Product.

• Regional Impact of Ports
  
  report_101.pdf
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During the 1990s around 2000 people died per year and over 20 000 sustained serious injuries on Australian roads per year. When the human cost is considered in combination with associated property damage and the costs of the infrastructure required to deal with road crashes, it is clear that society bears a huge overall cost. Determining the magnitude of this cost and its components provides a better understanding of the benefits of activities that reduce the incidence and severity of road crashes. 

Historically, railways have provided the means to open up new areas for economic development. When built to link existing centres of economic activity, they have given rise to greatly increased opportunities for trade and travel.

• Brisbane to Melbourne Rail Link: Economic Analysis
  
  wp_045.pdf
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Natural disasters affect every State and Territory in Australia. Good information on the costs of natural disasters is required to assess the effectiveness of expenditure on disaster mitigation. This study focuses on national economic costs, using data from the Emergency Management Australia (EMA) database, over the period 1967 to 1999.

• Economic Costs of Natural Disasters in Australia
  
  report_103.pdf
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Local roads are considered by regional communities to be a major contributor to their prosperity and social amenity. This report presents the first detailed picture of local road spending at the regional level. Recently, local roads have attracted considerable attention and debate at the national level. However, we simply do not have the detailed statistics and analyses required to understand the adequacy of local road spending nationally. Because there is no central source of data on regional roads, the writing of this report required the collection of financial data from no less than sixteen sources across Australia. The BTE understands that the Australian Bureau of Statistics has work in hand to upgrade regional statistics. Consequently our understanding of local road finances should improve over the next few years.

• Spending on Local Roads
  
  wp_044.pdf
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This paper presents the results of a Bureau of Transport Economics study of the regional impact of the Port of Mackay located on the central coast of Queensland. The port is an important component of the transport chain for sugar and agriculture. By measuring both direct and flow-on effects, the study estimated that the port was responsible for 1.0% of all employment in the region, with a value added contribution of 0.9%.

• Regional Impact of the Port of Mackay
  
  wp_046.pdf
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This report presents the economic impact of the Port of Gladstone on the Fitzroy region in Queensland. At the time of writing, Gladstone Port was the fourth largest in Australia. By measuring both direct and flow-on effects, the study estimated that the port was responsible for 2.3% of all employment in the region, with a value added contribution of 3.0%.

• Regional Impact of the Port of Gladstone
  
  wp_047.pdf
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