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Large scale infrastructure investment and economic performance – a case study of Oresund

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  • Sandra Achten
  • Lars Beyer
  • Antje-Mareike Dietrich
  • Dennis Ebeling
  • Christian Lessmann
  • Arne Steinkraus

Abstract

We analyse the effect of a large scale infrastructure investment, namely the construction of the Oresund bridge, on the local and supra-regional economy. We employ the synthetic control method to construct counterfactual regions that mimic the trajectory of Malmo and Southern Sweden without treatment. Our results point to a positive effect. However, placebo tests in space and time only reveal statistical significance at a larger regional level. The results suggest that spillover effects are eminent.

Suggested Citation

  • Sandra Achten & Lars Beyer & Antje-Mareike Dietrich & Dennis Ebeling & Christian Lessmann & Arne Steinkraus, 2019. "Large scale infrastructure investment and economic performance – a case study of Oresund," Applied Economics Letters, Taylor & Francis Journals, vol. 26(1), pages 21-26, January.
    • Handle: RePEc:taf:apeclt:v:26:y:2019:i:1:p:21-26
    DOI: 10.1080/13504851.2018.1433289
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