With their poor transportation facilities, many developing nations are not capable of participating in world markets because they cannot get to market those godos with which they might have a competitive advantage. Modern transportation facilities allow regions in a country to spezialice in doing what they are good at, that is, trading easily with one another to the benefit of the nation as a whole. While the importance of transport in economic growth and development has never seriously been questioned, its exact role and influence have been subjected to periodic reappraisals. The work on development economics and the role that transport can play in the economic development process is extensive. We consider in this course the problems of formulating a common transport policy to foster the economic growth of the member states of the European Union and also questions concerning the ways in which transport provision can stimulate economic growth within certain parts of a country or for a given urban area. This course is optional. Students who pass this course will acquire 5 ECTS. The subject is taught in English for four months, from February 15 to June 15.
Transportation investments lower the costs of moving people and goods. This increases economic productivity, which roughly can be measured as the output of goods and services per euro of private and public investment. And improved productivity leads to a higher standard of living. Because productivity is a central component of economic growth, it should be of major concern when assessing the value of transportation expenditures. It is important to focus on improving productivity even when policymakers strive to serve other important long-term transportation objectives, such as improving safety, energy independence, and environmental sustainability. High-productivity transportation investments increase connectivity and reduce congestion; by doing so they improve economic well-being. Short-term job creation, while vitally important to economic recovery, should not cause us to ignore the longer-term view. The course covers the European Union Transport Policy objectives at short and long term.