Estimation of economic impact of freight distribution due to highway closure

Abstract

The main aim of this study is to provide a theoretical framework and methodology to estimate and analyze the economic impact of freight disruption due to highway closure. The costs in this study will be classified into three groups: private operating costs for carriers, logistics and scheduling costs, and indirect costs for the market. The resource saving method is used to measure private operating costs for carriers. The stated preference method and the logit model are used to measure logistics and scheduling costs. The input-output analysis is used to measure indirect costs for carriers. The recommended methodology can be used to the estimate economic impact of freight disruption due to highway closure. The framework can be used as a stepping stone for future research.