Benefit Measurement of Transportation Improvement Under The Core-Periphery Model

Exploring benefit evaluation under Multi-equilibrium

Abstract

In this paper, we consider the methodology of benefit measurement of transportation improvement under the core-periphery model, which has market distortion and multi-equilibrium. The result shows that when the transportation improvement takes a discontinuous path; i. e., it involves a jump from an equilibrium to another equilibrium, the traditional methodology cannot be applied. In that case, the method shown in this paper is useful. In addition, we examine how to use project evaluation under the existence of multik-equilibdum.