On the Performance of the U.S. Transportation System: Caution Ahead

CLIFFORD WINSTON
JOURNAL OF ECONOMIC LITERATURE 51.3 (2013): 773-824

Winston examines the transportation sector, which he regards as highly significant for continued economic development, and which is in need of major improvements. He investigates what the optimal public-private responsibility split should be, concluding that our system has been compromised by public policy, with inefficient pricing, suboptimal investment, and inflated costs the result. Winston is still not sold on mass privatization, so concludes by calling for small, localized experiments in privatization and deregulation to gather empirical data on the effects.