Tuesday, April 26, 2016

KING OF THE ROAD: USA or CHINA?

                 

                           

USA started construction of a nationwide expressway system in 1956.  China opened its first expressway in 1988.  Even though the USA had a 32 year head start, China's expressway system now exceeds the USA by 25,000 miles.

 How could a country with limited access to capital build an expressway system so rapidly and extensively?
                                                                Answer:  TOLLS!


Expressway tolls in China are very expensive (about 12 cents per mile), but the "show me the money" technique for road building has enabled China to speed right past the USA in roadway expansion.  However, because 99% of China's expressways are tolled, and only 8% of expressways in the USA are tolled, the USA remains King of the FREEWAYS.

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