The funding of hierarchical railway development in China

We argue that when multi-level railway networks are evolved from a single-level (national) network due to market growth in countries such as China, where different levels of government are responsible for infrastructure planning and development, the state's monopolistic control of operation and its corresponding financing structure may not fit the operation of new multi-level networks. However, the suitable institutional set-up for the new networks may be delayed or never established for many reasons, some of which, as demonstrated in this paper, are place-specific and path-dependent. The case study of Chinese railway systems in comparison with the situations of other Asian countries (i.e. India and Japan) will shed some light on a better understanding of various financing models and development paths of multi-level transport.