Comparing Transportation Systems: Europe & North America

This assignment explores the similarities and differences between transportation systems in Europe and North America. It examines factors like tariffs, infrastructure organization, market focus, and ownership models. Additionally, the impact of transportation costs on global trade is discussed, highlighting how economic growth influences transportation choices within regions.

Running head: GLOBAL TRANSPORTATION // 18382 1
Global Transportation // 18382
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Institution

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Why did the author of this week's reading find it necessary to compare the European and North
American systems; are they really that different?
In my personal opinion, the author’s choice to compare the transportation systems in the
European and the North America as fundamental. First, the transportation system in the two
geographical regions is closely related. They are both well maintained and established. Just like
in the United States, the European countries have a close proximity to each other (Clausen &
Voll, 2013). Likewise, both have established guidelines to enhance the movement of goods and
products within and outside their respective borders. Both the North America and EU countries
employ similar distribution hubs or centers such as trains and pipelines. Moreover, they both
have a similarity in the transportation of goods system. Lastly, both the freight terminals and
equipment are privately owned in both regions.
Amid the similarities, there are also existing differences between the systems. The
differences are brought about by issues such as tariffs, taxes, equipment, organization, market
focus, ownership, and distance. In Europe, there is a separation of operations and infrastructure
organization for the purposes of accountancy while in North America, operations and
infrastructure are separated by region. Second, the EU market is passenger oriented while the
North America’s is Freight oriented (Clausen & Voll, 2013).
How do costs of transportation impact global trade?
Obviously, the transportation cost has a great impact on the global trade because an
organization will also choose a most economical means of transport. The economic growth in the
EU has prompted an increase of trucks engaged in the cross-border trades (Leinbach & Capineri,
2007). The European countries can easily transport goods across their border using trucks. The

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trend can easily endanger the use of other modes of transport like air and water. However, North
America can only use air and ship travels to move goods internationally. Trucks cannot be used
because the region is surrounded by the Oceans (Leinbach & Capineri, 2007).

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References
Clausen, U., & Voll, R. (2013, Feb 14). comparison of North American and European railway
systems. Retrieved from http://download.springer.com/static/pdf/596/art
%3A10.1007%2Fs12544-013-0090-4.pdf?
originUrl=http://link.springer.com/article/10.1007/s12544-013-0090-
4&token2=exp=1449775695~acl=/static/pdf/596/art%253A10.1007%252Fs12544-013-
009
Leinbach, T. R., & Capineri, C. (2007). Globalized Freight Transport : Intermodality, E-
commerce, Logistics and Sustainability. Cheltenham, UK: Edward Elgar.