Report | Budget, Taxes, and Public Investment

Impact of alternate public transit and rail investment scenarios on the labor market

Issue Brief #285

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Transportation investments represent an opportunity for Congress to kick the economy into a higher gear by creating millions of well-paying jobs while simultaneously boosting the condition and performance of our nation’s transportation system. The Federal Transit Administration (FTA) recently released a report estimating the total capital investment backlog for the nation’s transit systems (FTA 2010b). This FTA report led us to look at the effect on jobs—particularly in the manufacturing sector—of two scenarios for public transit and rail funding: the first scenario addresses the backlog, while the second expands the system to meet future needs. This analysis builds on our recent reports on the effects of temporary transportation stimulus and full reauthorization of transportation law with varying funding priorities (Bivens and Pollack 2010; Pollack 2010).

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