The evolution of U.S. rail freight pricing in the post-deregulation era: revenues versus marginal costs for five commodity types

There have now been over three decades of experience with rate-making freedom for all modes of intercity freight transport in the United States. Most evidence suggests that regulatory change has been beneficial for the rail industry and its users. Despite evidence of positive impacts of regulatory reform of U.S. freight transport, there is limited evidence related to long-term pricing trends by commodity in the deregulated era. Moreover, U.S. shipper groups have called for increased regulation of U.S. railroads, citing increased rates and profits, and monopoly pricing to “captive shippers.” This study estimates U.S. railroad revenue-marginal cost ratios for seven different commodities between 1986 and 2008. Interestingly, we find no significant increase in revenue-cost margins for commodities thought to be “most captive” (coal and chemicals), while finding large increases for some commodities thought to be “non-captive.” These results may provide insight into the impacts of regulatory reform in other countries, where there are similar concerns of equitable pricing and financial viability. They suggest that a move toward a more market-based pricing system can enhance railroad viability without harming those with fewer transport options.     

Accuracy of nonlinear finite element collapse predictions for submarine pressure hulls with and without artificial corrosion damage

Nonlinear finite element (FE) collapse pressure predictions are compared to experimental results for submarine pressure hull test specimens with and without artificial corrosion and tested to collapse under external hydrostatic pressure. The accuracy of FE models, and their sensitivity to modeling and solution procedures, are investigated by comparing FE simulations of the experiments using two different model generators and three solvers. The standard FE methodology includes the use of quadrilateral shell elements, nonlinear mapping of measured geometric imperfections, and quasi-static incremental analyses including nonlinear material and geometry. The FE models are found to be accurate to approximately 11%, with 95% confidence, regardless of the model generator and solver that is used. Collapse pressure predictions for identical FE models obtained using each of the three solvers agree within 2.8%, indicating that the choice of FE solver does not significantly affect the predicted collapse pressure. The FE predictions are found to be more accurate for corroded than for undamaged models, and neglecting the shell eccentricity that arises due to one-sided shell thinning is found to significantly decrease the resulting accuracy of the FE model.