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Title: APPLICATION OF THE MICROECONOMIC CONCEPTS OF PRODUCTION AND COST FUNCTIONS TO THE ANALYSIS OF HIGHWAY MAINTENANCE EFFICIENCY
Accession Number: 00494449
Record Type: Component
Availability: Find a library where document is available Abstract: Annual national highway maintenance expenditures increased from $6 billion in 1975 to $15 billion in 1983 and are still increasing each year. Maintenance needs for the highway system are increasing as well, but the funds available for highway maintenance have been decreasing in real terms. The result is a growing gap between highway maintenance needs and available resources and an urgent need to improve the productivity and cost efficiency of highway maintenance operations. In this paper, a microeconomic-based approach for analyzing the allocation of aggregate resources (labor and equipment) and the characteristics of production in highway maintenance operations is presented. The proposed methodologies allow determination of the maximum quantity of any given maintenance activity that can be accomplished with given quantities of labor and equipment, identification of basic characteristics of the production process of a given maintenance activity, determination of the optimal (cost minimizing) combination of labor and equipment needed to perform a given level of maintenance activity, and estimation of the minimum cost of accomplishing any given amount of a specified maintenance activity. The validity of the results and the practical usefulness of the proposed methodology are limited, due primarily to data limitations. Recommendations regarding the needed highway maintenance data base are discussed. The microeconomic concepts of production and cost functions seem to provide a promising theoretical basis for analyzing the productivity and cost efficiency of highway maintenance operations.
Supplemental Notes: This paper appears in Transportation Research Record No. 1215, Pavement Management and Rehabilitation. Distribution, posting, or copying of this PDF is strictly prohibited without written permission of the Transportation Research Board of the National Academy of Sciences. Unless otherwise indicated, all materials in this PDF are copyrighted by the National Academy of Sciences. Copyright © National Academy of Sciences. All rights reserved
Monograph Title: Monograph Accession #: 01414065
Authors: Chen, Hang-JerPerl, JossefPagination: p. 43-52
Publication Date: 1989
Serial: ISBN: 0309048192
Features: Appendices
(1)
; References
(13)
; Tables
(5)
TRT Terms: Uncontrolled Terms: Subject Areas: Data and Information Technology; Economics; Finance; Highways; Maintenance and Preservation; Research; I61: Equipment and Maintenance Methods
Files: TRIS, TRB, ATRI
Created Date: May 31 1990 12:00AM
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