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Highway infrastructure and state‐level employment: A causal spatial analysis

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  • Piyapong Jiwattanakulpaisarn
  • Robert B. Noland
  • Daniel J. Graham
  • John W. Polak

Abstract

This paper analyses the causal relationship between highway infrastructure and employment within the U.S. We estimate dynamic panel models in a vector autoregressive framework using time‐series cross‐sectional data on lane miles of roadway capacity and private sector employment for the 48 contiguous states over the period 1984–1997. The issue of spatial dependence is explicitly taken into account by means of a spatial filtering technique. Our analysis reveals evidence of employment growth temporally influenced by annual growth in the provision of major highways within the same state and all other states, as well as the other way around. However, the results show that the existence and direction of these temporal and spatial effects depend on the type of highways and time lags considered. Resumen país comercial este artículo analiza la relación causal entre la infraestructura de autopistas y el empleo en los EE.UU. Estimamos modelos dinámico de datos de panel dentro de un marco autorregresivo vectorial utilizando datos transversales de series temporales en de capacidad de carretera en millas de carril y de empleo del sector privado para los 48 estados contiguos durante el periodo 1984–1997. Nuestro análisis revela pruebas de crecimiento del empleo influido temporalmente por el crecimiento anual en la provisión de autopistas principales dentro del mismo estado y el resto de estados, y a la inversa. Sin embargo, los resultados muestran que la existencia y dirección de estos efectos temporales y espaciales dependen del tipo de autopistas y los lapsos de tiempo considerados.

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  • Piyapong Jiwattanakulpaisarn & Robert B. Noland & Daniel J. Graham & John W. Polak, 2009. "Highway infrastructure and state‐level employment: A causal spatial analysis," Papers in Regional Science, Wiley Blackwell, vol. 88(1), pages 133-159, March.
  • Handle: RePEc:bla:presci:v:88:y:2009:i:1:p:133-159
    DOI: 10.1111/j.1435-5957.2008.00205.x
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    3. Zhenhua Chen & Kingsley Haynes, 2015. "Multilevel assessment of public transportation infrastructure: a spatial econometric computable general equilibrium approach," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 54(3), pages 663-685, May.
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    5. Lie Ma & Dandan Li & Xiaobo Tao & Haifeng Dong & Bei He & Xiaosu Ye, 2017. "Inequality, Bi-Polarization and Mobility of Urban Infrastructure Investment in China’s Urban System," Sustainability, MDPI, vol. 9(9), pages 1-19, September.
    6. Michael Iacono & David Levinson, 2012. "Rural Highway Expansion and Economic Development: Impacts on Private Earnings and Employment," Working Papers 000101, University of Minnesota: Nexus Research Group.
    7. Awaworyi Churchill, Sefa & Baako, Kingsley Tetteh & Mintah, Kwabena & Zhang, Quanda, 2021. "Transport infrastructure and house prices in the long run," Transport Policy, Elsevier, vol. 112(C), pages 1-12.
    8. Tong, Tingting & Yu, Tun-Hsiang Edward & Cho, Seong-Hoon & Jensen, Kimberly & De La Torre Ugarte, Daniel, 2013. "Evaluating the spatial spillover effects of transportation infrastructure on agricultural output across the United States," Journal of Transport Geography, Elsevier, vol. 30(C), pages 47-55.
    9. Dena Kasraian & Kees Maat & Dominic Stead & Bert van Wee, 2016. "Long-term impacts of transport infrastructure networks on land-use change: an international review of empirical studies," Transport Reviews, Taylor & Francis Journals, vol. 36(6), pages 772-792, November.
    10. Zhenhua Chen & Kingsley E. Haynes, 2015. "Public surface transportation and regional output: A spatial panel approach," Papers in Regional Science, Wiley Blackwell, vol. 94(4), pages 727-751, November.
    11. Rosa Sanchis-Guarner, 2012. "Driving Up Wages: The Effects of Road Construction in Great Britain," SERC Discussion Papers 0120, Centre for Economic Performance, LSE.
    12. Hirte, Georg & Stephan, Andreas, 2014. "Regionale Beschäftigungswirkungen von öffentlichen Investitionen in Straßen- und Schieneninfrastruktur," Discussion Papers 2/2014, Technische Universität Dresden, "Friedrich List" Faculty of Transport and Traffic Sciences, Institute of Transport and Economics.
    13. Piyushimita Thakuriah (Vonu), 2011. "Variations in employment transportation outcomes: Role of site‐level factors," Papers in Regional Science, Wiley Blackwell, vol. 90(4), pages 755-772, November.
    14. Zhenhua Chen & Kingsley E. Haynes, 2015. "Regional Impact of Public Transportation Infrastructure," Economic Development Quarterly, , vol. 29(3), pages 275-291, August.
    15. Yena Song & Keumsook Lee & William Anderson & T. Lakshmanan, 2012. "Industrial agglomeration and transport accessibility in metropolitan Seoul," Journal of Geographical Systems, Springer, vol. 14(3), pages 299-318, July.
    16. Iacono, Michael & Levinson, David, 2016. "Mutual causality in road network growth and economic development," Transport Policy, Elsevier, vol. 45(C), pages 209-217.
    17. Chiara Del Bo & Massimo Florio & Silvia Vignetti & Emanuela Sirtori, 2011. "Additionality and regional development: are EU Structural Funds complements or substitutes of national Public Finance?," Working Papers 201101, CSIL Centre for Industrial Studies.
    18. Mehmet Aldonat Beyzatlar & Müge Karacal & Ý. Hakan Yetkiner, 2012. "The Granger-Causality between Transportation and GDP: A Panel Data Approach," Working Papers 1203, Izmir University of Economics.
    19. Ng, Choy Peng & Law, Teik Hua & Wong, Shaw Voon & Kulanthayan, S., 2017. "Relative improvements in road mobility as compared to improvements in road accessibility and economic growth: A cross-country analysis," Transport Policy, Elsevier, vol. 60(C), pages 24-33.
    20. Fang, Ling & Kleimann, Martin & Li, Yuan & Schmerer, Hans-Jörg, 2021. "The implications of the New Silk Road Railways on local development," Journal of Asian Economics, Elsevier, vol. 75(C).

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