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A Dual Economic Analysis of the Benefits of the Public Road Network

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  • Seitz, Helmut

Abstract

The productivity impact of public infrastructure is assessed by applying duality theory and estimating the savings in private production costs associated with the provision of public capital. The method used is that of a generalized cost function incorporating both physical and monetary measures of the provision of public road infrastructure capital as fixed unpaid factors of production. Estimation is done using a panel data set of 31 German manufacturing industries in West Germany. The resulting estimates form the basis of a motorway toll system using the principle of "pay-as-you-benefit."

Suggested Citation

  • Seitz, Helmut, 1993. "A Dual Economic Analysis of the Benefits of the Public Road Network," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 27(3), pages 223-239, September.
    • Handle: RePEc:spr:anresc:v:27:y:1993:i:3:p:223-39
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    Cited by:

    1. Bougheas, Spiros & Demetriades, Panicos O. & Morgenroth, Edgar L. W., 1999. "Infrastructure, transport costs and trade," Journal of International Economics, Elsevier, vol. 47(1), pages 169-189, February.
    2. Barabas, György & Kitlinski, Tobias & Schmidt, Christoph M. & Schmidt, Torsten & Siemers, Lars-H. & Brilon, Werner, 2010. "Verkehrsinfrastrukturinvestitionen: Wachstumsaspekte im Rahmen einer gestaltenden Finanzpolitik. Endbericht - Januar 2010. Forschungsprojekt im Auftrag des Bundesministeriums der Finanzen. Projektnumm," RWI Projektberichte, RWI - Leibniz-Institut für Wirtschaftsforschung, number 72601.
    3. 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.
    4. Torstein Bye & Alexandra Katz, 1995. "Returns to Publicly Owned Transport Infrastructure Investment . A Cost Function/Cost Share Approach for Norway, 1971-1991," Discussion Papers 154, Statistics Norway, Research Department.
    5. Alfredo M. Pereira & Jorge M. Andraz, 2013. "On The Economic Effects Of Public Infrastructure Investment: A Survey Of The International Evidence," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 38(4), pages 1-37, December.
    6. Miguel A Márquez & Julian Ramajo & Geoffrey Hewings, 2017. "Regional Public Stock Reductions in Spain: Estimations from a Multiregional Spatial Vector Autorregressive Model," REGION, European Regional Science Association, vol. 4, pages 129-146.
    7. Stephanie Aubert & Andreas Stephan, 2000. "Regional Infrastructure Policy and its Impact on Productivity: A Comparison of Germany and France," CIG Working Papers FS IV 00-02, Wissenschaftszentrum Berlin (WZB), Research Unit: Competition and Innovation (CIG).
    8. 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.
    9. Andreas Stephan, 2003. "Assessing the contribution of public capital to private production: Evidence from the German manufacturing sector," International Review of Applied Economics, Taylor & Francis Journals, vol. 17(4), pages 399-417.
    10. Jiang, Xiushan & He, Xiang & Zhang, Lei & Qin, Huanhuan & Shao, Fengru, 2017. "Multimodal transportation infrastructure investment and regional economic development: A structural equation modeling empirical analysis in China from 1986 to 2011," Transport Policy, Elsevier, vol. 54(C), pages 43-52.
    11. Ambe Njoh, 2009. "The Development Theory of Transportation Infrastructure Examined in the Context of Central and West Africa," The Review of Black Political Economy, Springer;National Economic Association, vol. 36(3), pages 227-243, December.
    12. Andreas Stephan, 2000. "The Contribution of Transport and Human Capital Infrastructure to Local Private Production: A Partial Adjustment Approach," CIG Working Papers FS IV 00-20, Wissenschaftszentrum Berlin (WZB), Research Unit: Competition and Innovation (CIG).
    13. Roberto Ezcurra & Carlos Gil & Pedro Pascual & Manuel Rapún, 2005. "Public capital, regional productivity and spatial spillovers," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 39(3), pages 471-494, September.
    14. 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.
    15. Nijkamp, P. & Rienstra, S., 1995. "Financing infrastructure investment and socio-economic development," Serie Research Memoranda 0024, VU University Amsterdam, Faculty of Economics, Business Administration and Econometrics.
    16. Leon Bettendorf & Michael P. Devereux & Albert Van Der Horst & Simon Loretz & Ruud A. de Mooij, 2010. "Corporate tax harmonization in the EU [Taxing corporate income]," Economic Policy, CEPR;CES;MSH, vol. 25(63), pages 537-590.
    17. Marinos, Theocharis & Belegri-Roboli, Athena & Michaelides, Panayotis G. & Konstantakis, Konstantinos Ν., 2022. "The spatial spillover effect of transport infrastructures in the Greek economy (2000–2013): A panel data analysis," Research in Transportation Economics, Elsevier, vol. 94(C).
    18. Zhang, Yanyan & Ma, Wenliang & Yang, Hangjun & Wang, Qiang, 2021. "Impact of high-speed rail on urban residents’ consumption in China—from a spatial perspective," Transport Policy, Elsevier, vol. 106(C), pages 1-10.
    19. FitzGerald, John & Kearney, Ide & Morgenroth, Edgar & Smyth, Diarmaid, 1999. "National Investment Priorities For The Period 2000-2006," Research Series, Economic and Social Research Institute (ESRI), number PRS33.
    20. Sanwei He & Shan Yu & Lei Wang, 2021. "The nexus of transport infrastructure and economic output in city-level China: a heterogeneous panel causality analysis," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 66(1), pages 113-135, February.
    21. George Gelauff & Sjef Ederveen & J.L.M. Pelkmans, 2006. "Assessing subsidiarity," CPB Document 133.rdf, CPB Netherlands Bureau for Economic Policy Analysis.
    22. Rico Maggi & Simona Bolis, 1998. "Adaptive stated preference analysis of shippers? transport and logistics choice," ERSA conference papers ersa98p496, European Regional Science Association.
    23. Hans-Friedrich Eckey & Reinhold Kosfeld & Nina Muraro, 2009. "Auswirkungen der Bevölkerungsentwicklung auf das wirtschaftliche Niveau der Regionen in Deutschland," MAGKS Papers on Economics 200901, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
    24. Jose da Silva Costa, 1998. "The productive role of public infrastructure: A critical review of recent literature," ERSA conference papers ersa98p95, European Regional Science Association.

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