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Transport and Economic Performance: The Case of Mauritius

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  • Jameel Khadaroo
  • Boopen Seetanah

Abstract

Transport capital is, theoretically, a key ingredient in the process of economic advancement. However it has, arguably, not benefited from the due attention of policy makers. In particular, the empirical literature has hardly dealt with small developing economies like Mauritius. The present paper applies a dynamic time series analysis in a vector error correction model (VECM) framework and uses a unique dataset over the period 1950-2000 to study the association between transport capital and economic growth for Mauritius. Transport infrastructure is shown to have significantly contributed to the economic performance of the small island state of Mauritius. Moreover, both transport and non-transport capital crowd-in private capital. Crucially, the support of the political leadership for the entire process of economic advancement is highlighted. © 2008 LSE and the University of Bath

Suggested Citation

  • Jameel Khadaroo & Boopen Seetanah, 2008. "Transport and Economic Performance: The Case of Mauritius," Journal of Transport Economics and Policy, University of Bath, vol. 42(2), pages 255-267, May.
    • Handle: RePEc:tpe:jtecpo:v:42:y:2008:i:2:p:255-267
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    Cited by:

    1. Ngo Phuc Hanh & Đao Van Hùng & Nguyen Thac Hoat & Dao Thi Thu Trang, 2017. "Improving quality of foreign direct investment attraction in Vietnam," International Journal of Quality Innovation, Springer, vol. 3(1), pages 1-16, December.
    2. A. J. Khadaroo & B. Seetanah, 2010. "Transport infrastructure and foreign direct investment," Journal of International Development, John Wiley & Sons, Ltd., vol. 22(1), pages 103-123.
    3. Wang, De-gen & Niu, Yu & Qian, Jia, 2018. "Evolution and optimization of China's urban tourism spatial structure: A high speed rail perspective," Tourism Management, Elsevier, vol. 64(C), pages 218-232.
    4. Armand Viljoen & Andrea Saayman & Melville Saayman, 2019. "Determinants influencing inbound arrivals to Africa," Tourism Economics, , vol. 25(6), pages 856-883, September.
    5. Boopen Seetanah & Sawkut Rojid, 2011. "Analysing the sources of economic growth in Africa using growth a accounting and a panel VAR approach," Journal of Developing Areas, Tennessee State University, College of Business, vol. 44(2), pages 367-390, January-M.
    6. Tong, Tingting & Yu, T. Edward, 2018. "Transportation and economic growth in China: A heterogeneous panel cointegration and causality analysis," Journal of Transport Geography, Elsevier, vol. 73(C), pages 120-130.
    7. Pradhan, Rudra P., 2019. "Investigating the causal relationship between transportation infrastructure, financial penetration and economic growth in G-20 countries," Research in Transportation Economics, Elsevier, vol. 78(C).
    8. Andrew R. Goetz, 2011. "The Global Economic Crisis, Investment in Transport Infrastructure, and Economic Development," Chapters, in: Kenneth Button & Aura Reggiani (ed.), Transportation and Economic Development Challenges, chapter 3, Edward Elgar Publishing.
    9. Plaxedes Gochero & Seetanah Boopen, 2020. "The effect of mining foreign direct investment inflow on the economic growth of Zimbabwe," Journal of Economic Structures, Springer;Pan-Pacific Association of Input-Output Studies (PAPAIOS), vol. 9(1), pages 1-17, December.
    10. Asamoah, Michael Effah & Adjasi, Charles K.D. & Alhassan, Abdul Latif, 2016. "Macroeconomic uncertainty, foreign direct investment and institutional quality: Evidence from Sub-Saharan Africa," Economic Systems, Elsevier, vol. 40(4), pages 612-621.
    11. Tong, Tingting & Yu, Edward & Roberts, Roland K., 2014. "Dynamics of Transport Infrastructure, Exports and Economic Growth in the United States," Journal of the Transportation Research Forum, Transportation Research Forum, vol. 53(1).
    12. Boopen Seetanah, 2011. "Optimal endowments of transport investment: an empirical analysis for mauritius," Empirical Economics, Springer, vol. 40(3), pages 827-838, May.
    13. Yanli Ma & Jieyu Zhu & Gaofeng Gu & Ke Chen, 2020. "Freight Transportation and Economic Growth for Zones: Sustainability and Development Strategy in China," Sustainability, MDPI, vol. 12(24), pages 1-17, December.
    14. Ghosh, Prabir Kumar & Dinda, Soumyananda, 2019. "Revisited the Relationship Between Economic Growth and Transport Infrastructure in India: An Empirical Study," MPRA Paper 116876, University Library of Munich, Germany, revised Feb 2021.
    15. Holmgren, Johan & Merkel, Axel, 2017. "Much ado about nothing? – A meta-analysis of the relationship between infrastructure and economic growth," Research in Transportation Economics, Elsevier, vol. 63(C), pages 13-26.
    16. Alvina Fatima & Muhammad Masood Azeem & Sadia Abbas & Sultan Ali Adil, 2014. "Linkages between Services Sector’s Growth and Poverty in Pakistan," South Asia Economic Journal, Institute of Policy Studies of Sri Lanka, vol. 15(2), pages 225-240, September.
    17. Yang Zhou & Chunyang Tong & Yongsheng Wang, 2022. "Road construction, economic growth, and poverty alleviation in China," Growth and Change, Wiley Blackwell, vol. 53(3), pages 1306-1332, September.
    18. Ivan Kristek, 2023. "An Analysis Of The Relationship Between Road Freight Transport And Economic Growth In The European Union: A Panel Data Approach," Business Logistics in Modern Management, Josip Juraj Strossmayer University of Osijek, Faculty of Economics, Croatia, vol. 23, pages 33-42.

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