Synopsis With increasing economic pressures, productivity considerations in allocation of investible resources amongst the zonal railways of India has acquired greater urgency than hitherto. Unfortunately, not much analytical work on this subject exists, though Investments on Indian Railways are to the tune of Rs. 7500 crores per annum. This book is a study of the productivity of investment on the zonal railways of India over a two decade period from a somewhat different perspective. During the course of the study it was found that the conventional theoretical structure for measuring and evaluating productivity was not applicable in the context of the zonal railways. A completely different theoretical framework has therefore been developed. Based on this framework, the productivity of investments has been evaluated for the period 1970-71 to 1992-93. This has led to some revealing conclusions and strong relationship such that they have formed the basis for an alternative approach to allocation of resources amongst the zonal railways of India. It is hoped that this work will be found of interest not only amongst railway professionals but also amongst those interested in transport economics or productivity of capital in general.