Environmental implications of missing transport networks in Europe

In view of increasing spatial interaction in Europe, missing transport networks represent a serious problem. In this paper, strategies of coping with the problem of missing networks are discussed from an economic policy perspective. It is argued that instead of the traditional approach of investments in transport infrastructure, software-oriented strategies and organizational measures should be envisaged to increase the performance of the transport networks. The implications of such measures for transport and the environment are discussed in the context of welfare economics. It is concluded that introducing useful policy strategies will have to overcome the resistance of the actual winners of national regulations.