19 Pages Posted: 20 Apr 2015 Last revised: 8 Aug 2015
Date Written: August 8, 2015
Transport consulting firm QTP Ltd has estimated that the proposed Christchurch cycleway network provides $8 of economic benefits for every dollar invested. However, much of this is based on faulty economic analysis and the true picture is much less rosy. Every Christchurch household is faced with an average bill of at least $1100 in present value terms for facilities that are predicted to attract only a relatively small and insignificant number of new cyclists, will result in more cyclist accidents and deaths, have at best zero impact on congestion, and yield highly uncertain health benefits. At current expected capital costs and cycleway uptake, it would be cheaper to provide every projected new cyclist with a brand new car.
Keywords: cycleway network, business case
JEL Classification: A10
Suggested Citation: Suggested Citation
Boyle, Glenn and Hill, James, On Ya Bike? A Review of the Christchurch Cycleway Network Business Case (August 8, 2015). Available at SSRN: https://ssrn.com/abstract=2596322 or http://dx.doi.org/10.2139/ssrn.2596322