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Рік заснування видання - 2014

TRANSPORT AS A MAIN FACTOR OF ECONOMIC GROWTH

23.01.2014 23:36

[Section 9. Logistics and transport]

Author: Dorofeyeva K. M., Donetsk national university of economicsand trade named after M. Tugan-Baranovsky


The rapid economic development in the twentieth century, integration processes, political reasons facilitate a fast increase in traffic. In this conditions transport has fully proved its meaning as an important factor in economy and geopolitics.

Transport or transportation is the movement of people, animals and goods from one location to another. Modes of transport include air, rail, road, water, cable, pipeline and space. The field can be divided into infrastructure, vehicles and operations. Transport is important because it enables trade between people, which is essential for the development of civilizations. [1]

Like many economic activities that are intensive in the use of infrastructures, the transport sector is an important component of the economy impacting on development and the welfare of populations. A relation between the quantity and quality of transport infrastructure and the level of economic development is apparent. When transport systems are efficient, they provide economic and social opportunities and benefits that result in positive multipliers effects such as better accessibility to markets, employment and additional investments. When transport systems are deficient in terms of capacity or reliability, they can have an economic cost such as reduced or missed opportunities and lower quality of life. [2] Efficient transportation reduces costs, while inefficient transportation increases costs. The impacts of transportation are not always intended, and can have unforeseen or unintended consequences such as congestion. Transport also carries an important social and environmental load, which cannot be neglected.

Transport has affected economic development from the beginning of human civilization. Economic development focused on the confluence of transport systems — early cities grew up on natural bays and ports, and on rivers and lakes where transport was available. Romans built roads to unify and provide access to their far-flung empire. Geographic characteristics such as proximity to oceans, seas, and waterways, plains, mountains and the location of oases defined early transport systems (e.g., the “Silk Road” went from oasis to oasis, and city to city, where there were no reliable water or road routes). [3]

The industrial revolution generated new transport demands, which required higher volumes of coal, iron ore, and other materials; this led to canal construction that extended water transport, and to early railway development.

Many developed nations are failing to upgrade their creaking rail, road and urban transit systems quickly enough, while emerging economies are struggling to adapt their infrastructure to their population growth.  Both are putting their economic development at risk.

According to a 2012 OECD report, demand for  mobility  is  set  to explode  in  coming  decades.  Air passenger  travel  could  double, air  freight  triple  and  container traffic  quadruple  by  2030. Urbanisation may see more than 70% of the global population  live  in  cities  by  2050,  and  the  number  of cars rise from 1 billion today to 2.7 billion. [4]

Investing  wisely  in  transport  and  building  the  right kind  of  infrastructure  to  meet  the  needs  of  coming generations  is  one  of  the  greatest  challenges governments  face  at  the  outset  of  the  21st  century.  If governments  get  it  wrong,  they  may  sacrifice  future prosperity,  fail  to  contain  global  warming,  and  fall behind in alleviating the everyday misery that billions of people face in accessing basic needs and services — to health services, to education, to jobs or to markets — because transport systems do not exist, are derelict, not efficient and not adapted to the needs of users.

Across all transport modes, existing infrastructure is far from being able to accommodate such increases of demand. Furthermore, transport infrastructure must be adapted to the requirements of sustainability, and enabled to profit from digitalisation. And already today, maintenance backlogs are threatening efficient and high-quality service with rail lines, bridges, tunnels, roads, quays and runways subject to creeping degradation due to postponement of necessary investment for upkeep.

Transport is a key necessity for specialization — allowing production and consumption of products to occur at different locations. Transport has throughout history been a spur to expansion; better transport allows more trade and a greater spread of people. Economic growth has always been dependent on increasing the capacity and rationality of transport. [1] But the infrastructure and operation of transport has a great impact on the land and is the largest drainer of energy, making transport sustainability a major issue.

As a conclusion, it has to be said that a modern society dictates a physical distinction between home and work, forcing people to transport themselves to places of work or study, as well as to temporarily relocate for other daily activities. Passenger transport is also the essence of tourism, a major part of recreational transport. Commerce requires the transport of people to conduct business, either to allow face-to-face communication for important decisions or to move specialists from their regular place of work to sites where they are needed.




List of literature:

1. Official site: Wikipedia, The free Encyclopedia. Transport. [Electronic resource] // access mode: http://en.wikipedia.org/wiki/Transport;

2. Official site of journal “The geography of transport system”. Chapter 7 – Transportation and the Economy. [Electronic resource] // access mode: http://people.hofstra.edu/geotrans/eng/ch7en/ch7menu.html;

3. Official site: PPIAF: railway reform. Transport has affected economic development from the beginning of human civilization. [Electronic resource] // access mode: http://www.ppiaf.org/sites/ppiaf.org/files/documents/toolkits/railways_toolkit/ch1_1_3.html;

4. Tackling transport’s funding dilemma. [Text] // Motion magazine. International transport forum. – issue № 03, 2013 – p. 4




_______________________________________

Scientific supervisor: Yerysh L.A.

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