European and North American Freight Education System

European and North American Freight System
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European and North American Freight System
The development of the commerce system at the global level has been on the peak due to freight transportation, globalized trade, and the global policy implications. Such development has been exhibited in both Europe and North America that have been creating common economic markets via tax relief and eliminating the existing border barriers for the movement of freight and passengers. For example, the North American Free Trade Agreement (NAFTA) is essential for the north market and the Europe while European Union (EU) has strived to elevate the governmental and private entities to ensure the existence of open border through the implementation of border policies. Thus, the essay is purposed to compare the North American and European Freight system based on the transportation, globalized trade, and the global policy implications.
The governmental policies, strategies, and freight logistics encompass processes that are geared towards harmonization of the multinational freight flow according to the economic characteristics that exist in different regions and at the global level. A comparison of freight transportation both North America and Europe reveals that the American freight transportation is better (Mortimer & Islam, 2014). This is noted in terms of environmental conservation. It is advantageous to use more railroads for freight than for passengers. For example, 70-ton freight can hold 140 tons of freight hence the cost of energy of moving the dead weight is reduced. However, a 70- ton passenger car can hold less than 14 tons of passengers hence the energy cost of moving the dead weight becomes higher. Therefore, there is a relief in high costs spent in the transportation of freight in America than Europe. Secondly, the freight transportation in America has no subsidies while the roads are minimally subsidized. This is different from the state and interstate highways are paid with the user fees. In both countries, the urban passenger trains need subsidies to cover the greater portion of the costs. This is different from the private sectors that pose regulations to prevent escalating costs. This leads to improved financial benefits. Since the railroads in the USA is majorly owned by the private sectors, they seem to earn more money than the European nation where the government owned most of the railroad for freight transportation due to fear of control by other people (Mortimer & Islam, 2014).
Regarding the globalized trade, North America and the Europe are involved...