Conditions and Performance Chapter Listing

Conditions and Performance Home Page

Introduction

Summary

Effect of Inflation

Expanding the Scope of the Investment Requirements

Data Corrections, Changes in Analytical Procedures and Model Enhancements

Summary

Exhibit G-1. Impact of Analytical Changes on Amounts Reported in the 1997 C&P Report

Based on 1995 HPMS data, the 1997 C&P report projected average annual highway investment requirements for 1996-2015 would be $40.5 billion in 1995 dollars under the Maintain User Costs scenario (excluding bridges) and $70.2 billion in 1995 dollars under the Maximum Economic Investment scenario (excluding bridge). Revised projections based on 1995 HPMS data using the analytical procedures developed for this report show an increase of 19 percent to $48.2 billion in 1997 dollars for the Maintain User Costs benchmark, and an increase of 18 percent to $82.6 billion in 1997 dollars for the Maximum Economic Investment scenario.

The increase in investment requirements is primarily due to inflation, and an expansion in the types of capital improvements included. The remainder is caused by data corrections, analytical changes and model enhancements, which largely offset each other.