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The Impact Of Highway Investment On New Manufacturing Employment In South Carolina: A Small Region Spatial Analysis

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  • Loretta Singletary
  • Mark Henry
  • Kerry Brooks
  • James London

Abstract

A geographical information system (GIS) is used with econometric methods to develop a small region spatial model to analyze the linkage between highway investment and new manufacturing employment in South Carolina. OLS estimates of the spatial model indicate that increases in four-lane highways, as well as interstate access, and two-lane highway density stimulate new manufacturing firm employment. Regions with higher than average employment density (a proxy for agglomeration economies) consistently influence employment gains as well, however. An implication for state and local policymakers is that the location, timing, and type of highway investment matter concerning whether highway investment serves as an economic development aid. Comparison of nonspatial and spatial model results indicates that development of small region models incorporating spatial statistical concerns should be pursued further.

Suggested Citation

  • Loretta Singletary & Mark Henry & Kerry Brooks & James London, 1995. "The Impact Of Highway Investment On New Manufacturing Employment In South Carolina: A Small Region Spatial Analysis," The Review of Regional Studies, Southern Regional Science Association, vol. 25(1), pages 37-55, Summer.
    • Handle: RePEc:rre:publsh:v:25:y:1995:i:1:p:37-55
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    References listed on IDEAS

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    Cited by:

    1. Chakrabarti, Sandip, 2018. "Can highway development promote employment growth in India?," Transport Policy, Elsevier, vol. 69(C), pages 1-9.
    2. Tsou, Ko-Wan & Cheng, Hao-Teng & Tseng, Fu-Yi, 2015. "Exploring the relationship between multilevel highway networks and local development patterns—a case study of Taiwan," Journal of Transport Geography, Elsevier, vol. 43(C), pages 160-170.
    3. Kim, Hyungtai & Ahn, Sanghoon & Ulfarsson, Gudmundur F., 2018. "Transportation infrastructure investment and the location of new manufacturing around South Korea's West Coast Expressway," Transport Policy, Elsevier, vol. 66(C), pages 146-154.
    4. Babcock, Michael W. & Leatherman, John C., 2011. "Methodology for Measuring Output, Value Added, and Employment Impacts of State Highway and Bridge Construction Projects," Journal of the Transportation Research Forum, Transportation Research Forum, vol. 50(1).
    5. Mehmet Aldonat Beyzatlar & Mehmet Yeşim Kuştepeli, 2011. "Infrastructure, Economic Growth and Population Density in Turkey," International Journal of Business and Economic Sciences Applied Research (IJBESAR), International Hellenic University (IHU), Kavala Campus, Greece (formerly Eastern Macedonia and Thrace Institute of Technology - EMaTTech), vol. 4(3), pages 39-57, December.
    6. Jiwattanakulpaisarn, Piyapong & Noland, Robert B. & Graham, Daniel J., 2010. "Causal linkages between highways and sector-level employment," Transportation Research Part A: Policy and Practice, Elsevier, vol. 44(4), pages 265-280, May.
    7. Thomas W. Sanchez, 2021. "Exploring the Relationship between Combined Household Housing and Transportation Costs and Regional Economic Activity in Virginia," Land, MDPI, vol. 10(7), pages 1-10, July.
    8. 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.

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