COST EFFICIENCY

A quantitative measure of efficiency or how well something contributes to the attainment of goals and objectives measured against its cost. For transportation systems, cost efficiency is usually measured as the ratio of the cost of a system to the level of service. Examples of four major unit cost measures that might be used (either separately or together) to determine cost efficiency are total operating cost per vehicle hour, total operating cost per vehicle mile, total operating cost per passenger trip, and total operating cost per passenger mile. See also Efficiency. (TRB)