Expressway Economy

Expressway, as an important transport infrastructure facility is a product of the development of social economy. Its appearance greatly changes people's way of life, shortens the time and spatial distance and satisfies people's desire for speed and efficiency. Its important position and role have come to be recognized with its rapid development within a global range. In China, in spite of its short history of only 16 years, it has brought about profound influence on the social economy and life. Thus expressway economy attracts more and more attention. The theoretical circle of China has carried much study on highway economy, but very little on expressway economy. The rapid development of expressway requires theoretical support and innovation in policy and system. This is the reason why I choose expressway economy as the subject matter of my dissertation hoping to achieve a new cognition of expressway economics by integrating my economic and managerial knowledge with my experiences in expressway profession.Based on related studies of other experts and scholars, this dissertation analyzes and discusses the following issues concerned with expressway economy:1. Study and analysis of economic attributes of expresswayExpressway has unique economic attributes. This should be considered in the process of construction, operation and management of expressways and effective measures should be taken accordingly. The first economic attribute of expressways is the same as that of semi-public articles, namely, natural monopoly, which requires that government should play a leading role in allocation of expressway resources, for example, at a macro level by adopting franchised dealing. At a micro level, especially when related to construction, maintenance and toll management, market measures should be considered such as bidding etc. The second attribute is that itsprofit increases progressively, which requires that expressways must be networked and systematized, and that while planning and constructing, high criterions must be adopted. The third attribute is graded benefit, which makes toll charge reasonable. Generally speaking, only when toll charged is lower than what the paid vehicles gain from graded benefit, can more passages be attracted and can expressways develop in sustainability. The fourth attribute is that expressways are capital-intensive. To most countries including China, government is unable to make all the investments in expressway. Construction funds must be raised through various channels. Both the investors and investment channels should be diversified to attract social, civil and foreign capitals. To most investors with limited capital, it is almost impossible to invest in such a capital-intensive field as expressway thus causing difficultly in capital operation and transfer of operation right. Accordingly, funding and investing system must be reformed: Asset-Backed Securitization , stock shares, auction, BOT and so on can be used, thus "breaking up the whole into parts", "sharing risks together", to attract medium and small investors. The fifth attribute is its influence on regional economy. The construction of the expressways helps concentrate production elements on industrial areas and flourishing districts. The result will be a new pattern of regional economic development, and, further, expressway industrial belt2. Study on the relationship between expressway and economic development Expressway is an important transport infrastructure facility. It plays an important function in planning: urban and rural development, regional development, economic and social development, domestic development, harmonious relation between man and nature, promotion of opening to foreign countries. The appearance of expressway can greatly promote national economic development, speed up the tempo of modernization of national economy, improve the connection transport structure, and promote regional economic development. Meanwhile, expressway should play a part in dealing with public crisis, by setting up public crisis system to mini...