Skip to main content

Independent Existence Theory Forming Indirect Effects and Its Three Examples: Congestion Easing, Scale Enlargement of Factory·Warehouse, and Marshallian External Economies

  • Chapter
  • First Online:
Economic Effects of Public Investment

Part of the book series: New Frontiers in Regional Science: Asian Perspectives ((NFRSASIPER,volume 1))

  • 318 Accesses

Abstract

I cannot, by all means, cast my lot with the transfer theory that all of what is called to be indirect effects is nothing but having transferred from the direct effects (the user himself forms those (a) by himself, (b) on the expressway, and (c) instantaneously), although I consent to the ordinary transfer phenomena of course (see the foregoing chapter).

This is a preview of subscription content, log in via an institution to check access.

Access this chapter

Chapter
USD 29.95
Price excludes VAT (USA)
  • Available as PDF
  • Read on any device
  • Instant download
  • Own it forever
eBook
USD 119.00
Price excludes VAT (USA)
  • Available as EPUB and PDF
  • Read on any device
  • Instant download
  • Own it forever
Softcover Book
USD 159.99
Price excludes VAT (USA)
  • Compact, lightweight edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info
Hardcover Book
USD 159.99
Price excludes VAT (USA)
  • Durable hardcover edition
  • Dispatched in 3 to 5 business days
  • Free shipping worldwide - see info

Tax calculation will be finalised at checkout

Purchases are for personal use only

Institutional subscriptions

Notes

  1. 1.

    As to these effects, I was talking to Professor M. Nakamura, two or three times, by the telephone. I have so far supposed that these effects, in reality, will be far bigger than the usual saving effects of running costs, saving effects of the time required, etc. which are listed first at the heading in the school textbook (Table 1.1 of Chap. 1).

  2. 2.

    Then, why have we included the item such as the “capacity upper-limit constraint easing effects of transport lot” into the category of the direct effects?

    It is because we are more or less affected by the perfect transfer theory of the indirect effects which means the equalization both of the transferred indirect effects and the indirect effects in total.

    That is, it may be founded based on the thought that such effects also ought to exist in order to make up the direct effects in generation base equal to the whole amount of the bigger indirect effects.

    But, it is true that “the independently existent indirect effects” indeed exist. That is, the transferred direct effects need not be equal to the whole of indirect effects.

References

  1. Kohno, H. 1987. Social benefits of transport investment—Theoretical synthesis. In OECD Highway Committee: Expert meeting and symposium in the appraisal of the social and economic effects of road network improvement, 80–92. Yokohama, May 26–28th.

    Google Scholar 

  2. Kohno. H. 1987. Social benefits of transport investment—Theoretical synthesis. In OECD Highway Committee: Expert meeting and symposium in the appraisal of the social and economic effects of road network improvement (Japanese edition), 79–90.

    Google Scholar 

  3. Kohno, H. 2007. Simultaneous equilibrium of industries and enterprises in the long- range—In the case where there is the Marshallian external economies. In Principle of economics III: Micro economicsmacro economics, 116–121. Tsukuba: Socio Economic Planning Office.

    Google Scholar 

  4. Kohno, H., and Y. Higano. 1980. The regional science in Japan: Survey II. Studies in Regional Science 11: 221–330.

    Article  Google Scholar 

  5. Kohno, H. 1979. Valuation of social benefits. In Modern auto transportation treatise, ed. Genpachiro Konno and Yukihide Okano, 108–132. Tokyo: The University of Tokyo Press.

    Google Scholar 

  6. Kohno, H., Mitomo, Hitoshi, and Miyadai, Yoji. 1987. A measurement of ‘Re-Organizational’ effects of the industry owing to the utilization of expressway. In Research on the economic efficiency of expressway (1986 No.14), 18–37. Tokyo: National Land Development Technology Center.

    Google Scholar 

  7. Levenson, A.M., and B.S. Solon. 1964. Outline of price theory, Holt, Rinchart & Winslon, 166–173. (Translated by Hisa-aki Ito & Hiroshi Enomoto. 1966. Keiso-shobo, 186–195).

    Google Scholar 

  8. Mohring, Herbert D., and H.F. Williamson Jr. 1969. Scale and ‘Industrial Reorganization’ economies of transport improvements. Journal of Transport Economics and Policy III(3): 251–271. (Translated by Etsuji Kamijo 1970. Ex & Auto 13(7): 74–85).

    Google Scholar 

  9. Nakamura, M. 1971. Criteria determining the highway toll rate and the economic effects of highway investment. In Regional economy and the transportation, ed. Hisao Ootsuka and Ryutaro Komiya, 241–292. Tokyo: The University of Tokyo Press.

    Google Scholar 

  10. Oishi, Yasuhiko. 1957. Insufficiency of consideration for the national economic point of view (external economies, social benefits). In Study on the report of Mei-shin Expressway by Ralph J. Watkins et al. eds. Study committee on the report by Watkins group (Genpachiro Konno, and Y. Oishi, et al.), 20–30. Japan Highway Public Corporation.

    Google Scholar 

Download references

Author information

Authors and Affiliations

Authors

Rights and permissions

Reprints and permissions

Copyright information

© 2016 Springer Japan

About this chapter

Cite this chapter

Kohno, H. (2016). Independent Existence Theory Forming Indirect Effects and Its Three Examples: Congestion Easing, Scale Enlargement of Factory·Warehouse, and Marshallian External Economies. In: Economic Effects of Public Investment. New Frontiers in Regional Science: Asian Perspectives, vol 1. Springer, Tokyo. https://doi.org/10.1007/978-4-431-55224-6_4

Download citation

Publish with us

Policies and ethics