Decision making processes governing federal expenditures within the transportation sector of the United States

Abstract

The current process for allocating federal funds within the transportation sector of the U. S. is dominated by concerns for territorial equity, administrative feasibility, technical feasibility, and national defense. Economic efficiency as a long range objective is conspicuous by its absence except insofar as it is embodied in the desire to “promote the commerce” of the nation.

Federal allocations for highways, waterways, and maritime subsidies are declining relative to urban public transit, and Coast Guard navigation related expenditures. Environmental considerations and obvious failure in the case of maritime subsidies appear to be the major reasons. Airport and airway allocations will be subject to the same negative forces.

The next massive transportation program to appear in the federal budget other than urban public transit is likely to involve the national railway system. The big question here is how the money will be handed out. Economists and planners so far appear to have had little interest or impact in this difficult and crucial area of public decision making.