ECONOMIC VITALITY

Structural Economic Effects

This general indicator refers to changes to the State, regional or local economy resulting from a transportation plan/project/action, and arising specifically because of market imperfections in transportation-using industries (i.e., where conditions of perfect competition are not met, either because of market power or external, unaccounted for, benefits and costs). Examples include: agglomeration economies (changes in productivity resulting from the spatial concentration of firms and workers), or increased output in locations where excessive transportation costs had prevented market entry and competition.