W. Rothengatter, DO EXTERNAL BENEFITS COMPENSATE FOR EXTERNAL COSTS OF TRANSPORT, Transportation research. Part A, Policy and practice, 28(4), 1994, pp. 321-328
Positive externalities of transport play a growing role in the politic
al discussion. If one concentrates on externalities of infrastructure
use it is easy to show that the number and the relevance of positive e
xternalities is low. Most of the effects mentioned such as improvement
of economic efficiency or development of new consumption/production s
tructures are basically not external but normal consumer's or producer
's surpluses induced by market interactions. Therefore, there is no re
ason to subtract external benefits from the external cost bills of tra
ffic modes which are detrimental to the environment.