Endogenous Regional Growth through Transportation Investment (original) (raw)

“Regional Economic Impacts of the Transportation Industry

International Economics and Finance Journal

This paper presents the findings of a regional economic impact study of the Transportation, Distribution, and Logistics (TDL) industry in Northwest Indiana. Using a regional input-output model, the economic impacts of the TDL industry were derived. Tangible estimates of the contribution of the TDL industry in sales, jobs, earnings, value added, and tax revenue in the region are reported in the paper. Based on the study findings, public policy recommendations are made that can influence the TDL industry in Northwest Indiana through gains in freight productivity.

Contribution of transportation investments to county output

Transport Policy, 2007

The impact of highway investments on economic development is investigated. Spatial and temporal aspects of transportation investments are studied by analyzing lagged and spillover effects, and the contribution of past output levels to the current output using a dynamic model. County level data from 1990-2000, in New York/New Jersey metropolitan area is used. Results show that the spillover effects decrease with distance from the investment location, that there is a positive time lag effect between the time the investment is made and its impact on output, and that the current level of output depends heavily on past levels.

Surface Transportation and Regional Output: A Spatial Panel Approach

SSRN Electronic Journal, 2000

This paper studies regional impact of three mature public surface transportation infrastructures in the Northeast corridor of the US: highway, public railway and public transit. Infrastructure stock is valued in real terms from 1991 to 2009. A spatial panel approach with fixed effects is adopted to test the hypothesis of spillovers by allowing for spatial dependence. The result shows that public surface transportation infrastructure in general does have a significant impact on regional output, most of which is from spillover effect; highways have an overwhelming influence through both local effects and spillover effects. The impacts from public railway and public transit are not significant, but transit does show a positive though small spillover effect.

SPATIAL ECONOMIC IMPACTS OF TRANSPORT INFRASTRUCTURE SUPPLY

This paper contains a survey of studies on the spatial economic impacts of transport infrastructure supply. A theoretical framework is developed where impacts of transport infrastructure on spatial economic development are measured in terms of productivity changes and (re)location behaviour. The transmission takes place via changes in generalized transport costs and accessibility. Methods for analyzing transport infrastructure impacts are classified according to the level of aggregation of the data (aggregate versus disaggregate) and the degree of model use (modelling versus nonmodelling approaches). Two spatial levels are distinguished: intra-urban versus intraregional. At the intraregional level it is found that integrated land use-transport models usually yield infrastructure impacts of limited size. Much larger impacts are usually found when entrepreneurs are directly interviewed about these impacts as they perceive them. At the interregional level, production function approaches usually lead to the conclusion that infrastructure supply has a considerable impact on the productivity of other production factors. On the other hand, the relocation impacts of transport infrastructure on economic activity as predicted by multiregional models are usually limited.

Welfare economic impacts of transportation improvements in a peripheral region

2008

We set out to investigate whether transportation improvements can trigger welfare economic impacts in a peripheral region. The paper addresses this issue through the development of a general equilibrium labor market model with a transportation component. The model is implemented to a set of 101 core and peripheral cities in Israel. Numeric simulations are carried out to test the research hypotheses regarding positive relationship between improved accessibility and enhanced economic welfare. Economic welfare is measured in terms of efficiency and equity impacts. The results of the simulations show that transportation improvements in the form of auto travel time reductions may lead to substantial welfare benefits in the peripheral region considered in terms of increased output, productivity and wages.

The effects of transport infrastructure changes : a general equilibrium perspective

2013

Measures of the value of public investments are critical inputs into the policy making process. In the existing literature public investments are often valued through their effects on local equilibrium factor prices wages and land rents as first suggested by Rosen (1974) and Roback (1982). We extend this methodology to measure the value of public transport infrastructure, while taking into account the network character of this amenity. Furthermore, we disentangle and calculate the relative importance of various economic effects induced by transport infrastructure, including the effects on: modal split, spatial distribution of economic activities, firms’ productivity.

Evaluating The Relationship Between Transportation Infrastructure and Economic Activity: Evidence from Washington State

Journal of the Transportation Research Forum, 2011

Prior analysis regarding transportation infrastructure has often focused on the aggregate effects of public investment on economic growth or activity, usually at a national or state level. Modeling efforts that attempt to treat all counties as equivalent units, while assuming a homogeneous modeling structure for all the units, may miss important information regarding the statistical and causal relationships between economic activity and transportation infrastructure. This study examines the interrelationships between infrastructure and activity using two Washington State highway infrastructure datasets in combination with county-level employment, wages, and establishment numbers for several industrial sectors for a subset of counties from 1990 to 2004. Estimates using vector autoregressions, error correction models, and directed acyclic graphs are made. The results show that the relationships between infrastructure investment and economic activity are often weak and are not uniform ...