The future of the asphalt industry is being debated.
For the past decade, it has been seen as a good bet.
But as the price of asphalt rises, the economics of asphalt are being challenged.
A new report from The Brookings Institution reveals that the cost of asphalt, a solid that can be made from a mixture of dirt, gravel and asphalt, is about three times higher than the average cost of cement in the US.
So while the average asphalt cost in the country is about $1 per square foot, asphalt in Texas is costing $1.70 per square feet.
The report also finds that the average number of people using asphalt in the United States in 2020 was 1.7 million people.
This means that in 2020, the average person was using asphalt at a cost of $2,000.
How much is the asphalt going to cost?
While some states have a higher price tag, most people are paying the same.
“There is no one silver bullet for asphalt,” said Dr. Stephen T. Miller, the director of the National Transportation Safety Board and an assistant professor of geography at the University of Texas at Austin.
What’s more, it is not clear that the asphalt market can sustain itself in the future, because the cost has been growing.
Miller said the number of asphalt producers in the U.S. is expected to double over the next 10 years, but the industry is not expanding fast enough to maintain the pace of growth.
According to the Brookings Institution report, the cost to make a gallon of asphalt in 2020 will be about $3.50.
In 2025, the price for a gallon is expected be $5.20.
With that, the value of asphalt is expected increase by $1,400 per year.
To get the price down, the Brookings report calls for a reduction in the size of asphalt producer companies, the elimination of land acquisition costs and a transition to cheaper-tasting asphalt.
Experts are also skeptical of the efficiency of asphalt production.
One estimate suggests that by 2020, if all the asphalt produced in the world were used, the entire asphalt industry could save the oil industry $4 billion a year in maintenance costs.
There is a lot of skepticism about the sustainability of the industry.
“[The industry] is going to take decades to recover from this.
We’re not going to be able to grow our economy to the same extent,” Miller said.
Why is asphalt in such a bad place?
It is the result of many factors, including pollution and climate change, the report said.
“The problem is not simply the cost, it’s the climate impact.
It’s also not just the lack of supply, which is one of the factors that has driven up the price,” Miller told ABC News.
That’s because the supply of asphalt and cement are already limited.
By 2035, more than half of the US asphalt supply is expected come from the Midwest and Southeast, according to the report.
Other factors are driving the cost increase, such as the growing demand for energy-efficient transportation.
If more of our transportation options are powered by electric vehicles, Miller said, the prices of asphalt could drop.
Also, a large part of the cost is due to the increased cost of transporting the asphalt.
A study from McKinsey & Co. found that by 2035 there would be 1.8 million more cars on the road than there are people on the roads.
Many people are already using the roads, so that could slow the price decline, Miller noted.
He said that a shift to less expensive asphalt would also lead to a decrease in the amount of vehicles that are driven.
Meanwhile, the demand for asphalt is growing, so the price is expected, according the Brookings paper.
Where is the money going?
In 2020, about $12 billion of the $19 billion in federal and state funding for the transportation industry will come from new federal transportation investment.
New investments in transportation will include investing in new roads, bridges and tunnels, as well as expanding highway networks and other infrastructure.
Some of the money will go to the Federal Highway Administration and the Transportation Department.
President Donald Trump has promised to double the amount that the Federal Transportation Administration is spending on infrastructure.
The president’s administration has proposed a $1 billion boost in the Transportation Security Administration’s budget.
While the money is not nearly enough to make the infrastructure needed to support the rise in transportation demand, Miller believes the infrastructure funding is necessary.
Currently, the Transportation security Administration provides $400 million per year in grants to improve road safety, increase air quality and increase pedestrian safety.
Additionally, the Federal Aviation Administration funds the National Highway Traffic Safety Administration, which provides grants to make roads safer and to improve the way air traffic controllers are trained.