Abandonment of rail lines could have adverse economic consequences upon smaller communities and sparsely populated rural areas. These consequences include: Lower grain prices received by farmers; Higher transportation costs and lower profits for rail shippers; Loss of market options for shippers; Lost economic development opportunities in rural communities resulting in less diversification of employment; Higher road maintenance and reconstruction costs. The negative effects of abandonment can be avoided if short line railroads are economically viable. Therefore, research is needed to discover the determinants of short line profitability. The purpose of this study is to develop predictive models of long term profitability for grain dependent short line railroads in the Midwest, identify the factors influencing their profitability, and to develop a quantitative profile of these short line railroads likely to be profitable in the long term.
Long Term Profitability of Grain Dependent Short Line Railroads in the Midwest
1997
176 pages
Report
No indication
English
Railroad Transportation , Agricultural Equipment, Facilities, & Operations , Economic Studies , Economic & Community Development , Rail transportation , Grain crops , Economic development , Railroad industry , Kansas , Rural areas , Economic analysis , Profits , Abandonment , Failures(Business) , Farms , Short line railroads
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