Abstract
Whether cost benefit analysis (CBA) takes the wider economic impacts of a transport initiative into account or whether these impacts are being underestimated is reviewed with reference to the results of a range of studies. While the wider economic effects of a transport initiative are important, the prediction of these effects is difficult, and dependent on the specific circumstances of the project. Local financing of some projects, for example by road pricing, or achieving similar economic results by increased rail rather than road investment, are considered.