The aim of the System Dynamics Model ESCOT is to describe a path towards a sustainable transport system in Germany and to assess its economic impacts. ESCOT was developed within the environmentally sustainable transport (EST) project of the OECD that was designed to set-up the ecological and technical framework of a transition towards sustainable transportation. ESCOT comprises five models: the macroeconomic, the transport, the regional economic, the environmental and the policy model. The economic assessment for environmentally sustainable scenarios shows that the departure from car- and road freight-oriented transport policy is far away from leading to an economic breakdown. By expanding the time period for the transition we derived even more encouraging economic results. For the economic assessment it is important that ESCOT considers not only first round effects but also secondary effects. This ability makes ESCOT a powerful instrument for the assessment of such large system changes.