Transportation is related closely to economic and social changes because territorial accessibility, mobility of freight as well as movement of people are the actual basis of such relationship (Rodrigue, Comtois & Slack, 2006, p.83). Wherever there are efficient transportation infrastructures to facilitate the accessibility of resources and markets and to ensure mobility needs, there is bound to be abundant economic opportunities. According to Rodrigue, Comtois and Slack (2006) transportation is a very fundamental element of economic activities at local, regional and international levels (p.83). Rodrigue et al. state that the sector of transport plays a very crucial role in the economy by influencing the welfare of the people and general development (p.18). In areas where transport systems are well organized and reliable, there are benefits that influence the economy of the region by offering social and economic opportunities to the communities and the population at large. Rodrigue, Comtois and Slack (2006), reaffirm that transportation has both direct and indirect impact (p. 83 – 85).
Some of the direct benefits of transportation, all of which contribute to the improvement of the local and national economy include income generation, improved mobility, market accessibility and economy of scale (p.84). Transportation also contributes to the economy by saving cost and time that is quite essential for development of economy, it allows people to access a wide range of consumers and suppliers and it enhance division of labor among others. Indirect benefits derived from transportation include, higher commodity supply, lower commodity price, creation of distribution networks, increased competitiveness, accumulation and attraction of competitiveness, fulfillment of mobility needs and growth of consumption (Rodrigue, Comtois & Slack, 2006, p.84).
The proposal to introduce regulations that would limit land in addition to anti-automobile policies would have serious negative impact on the economy of the United States of America. The same regulations have been introduced in other places such as Seattle, California, Portland among other parts of the nation and their impact to the economy is eminent. According to Cox (2010), such densification policies would increase air pollution, cause greater traffic congestion and increase travel times due to insufficient roadway capacity for the rapidly growing demand. Cox further argue that research in the past has revealed that economic growth is closely linked to passenger and freight mobility, hence the higher the mobility the higher the higher the GDP.
The introduction of the regulation would cause traffic congestion that would decrease income generated from the sector in form of salaries and fares (Cox, 2010). That would lead to lower GDP due to reduced income, hence, a threat that would affect the national economy negatively. Slow transportation of freight and passengers would reduce market accessibility and distribution; it would also cause time wastage and limit accessibility to diversity of consumers and suppliers, all of which are detrimental to the economy of the United States (Rodrigue, Comtois & Slack, 2006, p.84). Cox further reasons that association between economic growth and minimized travel time would hinder job creation in the United States and as a result, the rates of poverty would increase in the nation (Cox, 2010). In addition, slower transportation would increase carbon footprint in the United States. Increased emission due to slow traffic would increase pollution of the environment, which in turn would cause more illnesses and climatic calamities and catastrophes. The illness would lead to low savings and a sick labor that would reduce economic growth considerably. Climatic calamities will also lead to loss of life and reduced productivity. Besides, it would compel the government to use funds that would otherwise be used to improve the livelihood of the citizens to address the damages caused by the calamity. Concisely, the proposed regulations will affect the United State’s economy quite negatively.
References
Cox, W. (Producer). The Transportation Regulatory Threat to the U.S. Economy – 2. Web.
Rodrigue, J., Comtois, C. & Slack, B. (2006). The Geography of Transport Systems. London: Routledge, Taylor and Francis Group.