IMPORTANCE OF

TRANSPORTATION

CONTENT:
1.Introduction
2.Importance of transportation
3.Transportation and economic growth
4.Transportation in the United States
5.Transportation employment
6.Transportation Systems
7.Interaction of Supply and Demand
8.Question and Answers

1.Importance of transportation
Introduction:
Transportation has always played a significant role by
facilitating trade, commerce, conquest, and social interaction,
while consuming a considerable portion of time and resources
 The primary need for transportation has been economic,
involving personal travels in search of food or work, travel for
the exchange of goods and commodities, exploration, personal
fulfilment, and the improvement of a society or a nation.
 The movements of people and goods, which is the basis
of transportation, always has been undertaken to accomplish
those basic objectives or tasks that require transfer from one
location to another.
 For example, a farmer must transport product to market, a
doctor must see a patient in the office or in the hospital, and a
salesman must visit clients located throughout a territory

2.Importance of Transportation

 Making the most of natural resources and markets and

maintaining a competitive edge over other regions and nations
are linked closely to the quality of the transportation system.
 The speed, cost, and capacity of available transportation
have a significant impact on the economic vitality of an area
and the ability to make maximum use of its natural resources.
 Examination of most developed and industrialized societies
indicates that they have been noted for high-quality
transportation systems and services.
  Countries with advanced transportation systems have
always been among leaders in industry and commerce.
 Without the ability to transport manufactured goods and
raw materials, a country is unable to maximize the
comparative advantage it may have in the form of natural or
human resources.
 Countries that lack an abundance of natural resources rely
heavily on transportation in order to import raw materials and
export manufactured products

3.Transportation and Economic Growth:

 Good transportation is a necessary but insufficient
condition for economic growth.
 However, the absence of supportive transportation
services will serve to limit or hinder the potential for a nation
or region to achieve its economic potential.
 Thus, if a society expects to develop and grow, it must
have a strong internal transportation system consisting of
good roads, rail systems, as well as excellent linkages to the
rest of the world by sea and air.
 A healthy transportation system is a necessary condition for
human interaction and economic competitiveness.

 Good transportation permits the specialization of industry or

commerce, reduces costs for raw materials or manufactured
goods, and increases competition between regions, thus
resulting in reduced prices and greater choices for the
consumer.
 Transportation is also a necessary element of government
services, such as delivering mail, defence, and efficient
mobilization in the event of national emergencies.
Social Costs and Benefits of Transportation
 The improvement of a region’s economic position by virtue
of improved transportation does not come without costs.
 Building vast transportation systems requires enormous
resources of energy, material, and land.
 In major cities, transportation can consume as much as half
of all the land area.
 An aerial view of any major metropolis will reveal vast
acreage used for railroad terminals, airports, parking lots, and
freeways.
 Transportation has other negative effects as well.
• Every mode of transportation brings to mind some major
disaster, such as the sinking of ships, the infrequent but
dramatic passenger air crashes, and highway accidents that
each year claim thousands of lives throughout the world.
• In addition, transportation can create noise, spoil the natural
beauty of an area, change the environment, pollute air and
water, and consume energy resources.

4.Transportation in the United States:

  Approximately 18 percent of U.S. household expenditure
is related to transportation.
 Transportation accounts for about 28 percent of total
energy consumption.
 Almost 100 percent of the energy utilized for propelling
transport vehicles is derived from petroleum resources.
 Over 50 percent of all petroleum products consumed in the
United States are for transportation purposes.
 Over 80 percent of eligible drivers are licensed to operate
a motor vehicle.
 Each person in the Unites States travels an average of
12,000 miles each year.
 Over 10 percent of the work force is employed in a
transportation-related activity.
 There are almost four million miles of paved roadway, of
which 754,000 miles are used for intercity travel and 46,800
miles are interstate highways.
 There are approximately 140,300 miles of freight
railroads, 5300 public use airports, 26,000 miles of navigable
channels, and 359,000 miles of oil and gas pipelines.
5.Transportation Employment:
 The physical-distribution aspect of transportation.
 Known as business logistics or physical-distribution
management.
 Concerned with the movement and storage of freight
between the primary source of raw materials and the location
of the finished manufactured product.
 Logistics is the process of planning, implementing, and
controlling the efficient and effective flow and storage of
goods, services, and related information from origination to
consumption as required by the customer.
 An expansion of the logistics concept is called supply-chain
management: A process that coordinates the product,
information, and cash flows to maximize consumption
satisfaction and minimize organization costs.
 Vehicle design and manufacture is a major industry and
involves the application of mechanical, electrical, and
aerospace engineering skills as well as those of technically
trained mechanics and workers in other trades.
 Other professionals, such as lawyers, economists, social
scientists, and ecologists, also work in the transportation fields
when their skills are required to draft legislation, to facilitate
right-of-way acquisition, or to study and measure the impacts
of transportation on the economy, society, and the
environment.
6.Transportation Systems:
 The transportation system in a developed nation is an
aggregation of vehicles, routes, terminal facilities, and control
systems that move freight and passengers.
 These systems are usually operated according to
established procedures and schedules in the air, on land, and
on water.
  The set of physical facilities, control systems, and operating
procedures referred to as the nation’s transportation system is
not a system in the sense that each of its components is part of
a grand plan or was developed in a conscious manner to meet
a set of specified regional or national goals and objectives.
 Rather, the system has evolved over a period of time and is
the result of many independent actions taken by the private
and public sectors, which act in their own or in the public’s
interest.
7.Interaction of Supply and Demand:
 The transportation system that exists at any point in time is
the product of two factors that act on each other.
 These are:
1. The state of the economy, which produces the demand for
transportation.
2. The extent and quality of the system that is currently in
place, which constitutes the supply of transportation facilities
and services.
 In periods of high unemployment or rising fuel costs, the
demand for transportation tends to decrease.
 On the other hand, if a new transportation mode is
introduced that is significantly less costly when compared
with existing modes, the demand for the new mode will
increase, decreasing demand for the existing modes

 At any point in time, the nation’s transportation system is in

a state of equilibrium as expressed by the traffic carried (or
market share) for each mode and the levels of service
provided (expressed as travel attributes such as time, cost,
frequency, and comfort).
This equilibrium is the result of
 Market forces: state of the economy, competition, costs,
and prices of service
• For example, if gasoline prices were to increase
significantly, there could be a measurable shift of long-haul
freight from truck to rail. In the long run, if petroleum prices
remained high, there might be shifts to more fuel-efficient
trucks and autos.
 Government actions: regulation, subsidy, and promotion
• For example, the federal government’s decision to build a
national interstate system affects the truck–rail balance in
Favor of truck transportation. It also encourages long distance
travel by auto and is a factor in the decline of intercity bus
service to small communities.

 Transportation technology: speed, capacity, range, and

reliability

• A dramatic example is the introduction of jet aircrafts, which

essentially eliminated long distance passenger train travels
and passenger steamship transcontinental travel
8.Question and Answers
Q1: What is the primary role of transportation in an
economy?
Ans: The primary role of transportation in an economy is to
facilitate the movement of goods and people. This
connectivity boosts trade, enhances market access, and drives
economic growth by enabling efficient supply chains.
Q2: How does transportation influence urban
development?
Ans: Transportation influences urban development by shaping
the layout and accessibility of cities. Well-planned
transportation systems can promote sustainable growth,
reduce congestion, and improve the quality of life by
connecting residential areas with commercial and recreational
spaces.
Q3: In what ways does transportation affect employment
opportunities?
Ans: Transportation affects employment opportunities by
providing access to job markets. Reliable transportation
systems enable people to reach workplaces more easily,
expanding their job options and reducing barriers for those in
underserved areas.

Q4: What are the social benefits of an efficient

transportation system?
Ans: An efficient transportation system offers numerous
social benefits, including improved access to education,
healthcare, and social services. It fosters community
engagement, reduces isolation, and promotes inclusivity by
ensuring that all individuals can participate in society.
Q5: How does transportation contribute to environmental
sustainability?
Ans: Transportation contributes to environmental
sustainability by encouraging the use of eco-friendly modes,
such as public transit, biking, and walking. Sustainable
transportation initiatives can reduce greenhouse gas
emissions, decrease air pollution, and promote cleaner urban
environments.
Q6: Why is transportation important for tourism?
Ans: Transportation is crucial for tourism as it allows
travellers to access destinations easily. Efficient transport
networks improve visitor experiences, support local
economies, and help regions thrive by attracting tourists and
facilitating cultural exchange.
Q7: What challenges does transportation face in urban
areas?
Ans: Urban areas face challenges such as traffic congestion,
inadequate public transit, and aging infrastructure. These
issues can lead to increased travel times, pollution, and
diminished quality of life, necessitating innovative solutions
and investments in sustainable transportation.
Q8: How can technology improve transportation systems?
Ans: Technology can improve transportation systems through
advancements like real-time tracking, smart traffic signals,
and autonomous vehicles. These innovations enhance
efficiency, safety, and user experience, making transportation
more responsive to the needs of users.