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New MTI Study Suggests Transit Benefits Substantially Greater than Costs

Posted July 2015

Just how much do investments in public transportation return? The July 2015 Mineta Transportation Institute report, “The Benefits of Transit in the United States: A Review and Analysis of Benefit-Cost Studies” attempts to answer this question quantitatively through a review of literature on benefits-costs (b-c) estimates of existing U.S. transit systems. The study finds that transit pays for itself in congestion relief benefits alone for mid- to large-sized urban areas. Substantial transit benefits were also found in rural and small urban areas. Jobs and economic stimulus are among the largest benefit categories of transit. Transit improves health care access and outcomes while reducing costs. Although transit’s positive effect on safety and security, greenhouse gas emissions, air quality, and other important benefits are not fully documented by traditional b-c analysis, these benefits can potentially be significant. All these findings suggest that appropriate transit investments make perfect economic sense for both large urban areas, and rural and small urban areas in the US.

For more details about the study, download the full report.