Semester Offering: August

This course aims to provide students with the tools necessary to undertake transport project evaluation. These tolls comprises of microeconomics background, transport demand forecasting, impact analysis and comprehensive judgment.


Project evaluation system, estimation of project cost and benefit, economic evaluation and financial evaluation, and application of project evaluation system.




I.        Introduction: Project Evaluation System
1.      Background of project evaluation
2.      Project cycle
3.      Process of project evaluation
4.      Contents of project evaluation

II.     Consumer/ Producer Behavior – Microeconomics
1.      Theory of consumer behavior
2.      Theory of producer behavior

III.  Transport Demand Forecasting
1.      Travel demand model
2.      Impact analysis

IV.  Cost Estimation
1.      Classification of cost
2.      Economic and financial cost

V.      Measurement Method of Benefit
1.      Measurement method of benefit
2.      Application method

VI.   Economic Evaluation and Financial Evaluation
1.      Cost and benefit analysis
2.      Financial evaluation

VII.  Application of Project Evaluation System
1.      Case examples of transport project evaluation


Lecture notes provided by the instructor.

Adler, H.A. (1986):
            Economic Appraisal of Transport Projects: A Manual with Case Studies. [Case Studies], EDI Series in Economic Development, Revised and Expanded Edition.

Ortuzar, J. de D. and L.G. Willumsen (1990):
            Modelling Transport, John Willey and Sons.

Hal R. Varian (1999):
            Intermediate Economics, W.W.Norton & Company, Fifth Edition.


James, T. Kneafsey (1975):
Transportation Economic Analysis, Lexington Books.

Layard, R. (editor) (1990):
Cost Benefit Analysis, Cambridge University Press, Second Edition.

Kenneth, A. Small (1995):
Urban Transportation Economics, Harwood academic publishers.


Journal of Public Economics

Journal of Transportation Economics and Policy


Mid-Semester Examination         30%
Semester Project                       20%
Final Examination                      50%

Closed book exams