New road infrastructure: The effects on firms

Gibbons, Stephen; Lyytikäinen, Teemu; Overman, Henry G.; Sanchis-Guarner, Rosa

doi:10.1016/j.jue.2019.01.002

Cited by 189 publications

(133 citation statements)

References 23 publications

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“…On one hand, our analysis shows a positive effect of road construction on alleviating the amount of falling dust and CO concentration. These findings can be explained by the fact that as higher quality ARTICLE PALGRAVE COMMUNICATIONS | https://doi.org/10.1057/s41599-019-0369-8 road is built, the manufacturing and recycling productivity and efficiency are elevated (Duran-Fernandez and Santos, 2014;Gibbons et al, 2019), which, in turns, leads to air emission reduction.…”

Section: Discussionmentioning

confidence: 99%

The trilemma of sustainable industrial growth: evidence from a piloting OECD’s Green city

Vuong

Hồ

Nguyen

et al. 2019

Preprint

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Can green growth policies help protect the environment while keeping the industry growing and infrastructure expanding? The City of Kitakyushu, Japan has actively implemented eco-friendly policies since 1967 and recently inspired the pursuit of sustainable development around the world, especially in the Global South region. However, empirical studies on the effects of green growth policies are still lacking. This study explores the relationship between road infrastructure development and average industrial firm size with air pollution in the city through the Environmental Kuznets Curve (EKC) hypothesis. Auto-Regressive Distributed Lag (ARDL) and Non-linear Auto-Regressive Distributed Lag (NARDL) methods were applied on nearly 50-years' time series data, from 1967 to 2015. The results show that the shape of the EKC of industrial growth, measured by average firm size, depends on the type of air pollution: inverted N-shaped relationships with NO 2 and CO, and the U-shaped relationships with falling dust particle and O x . Regarding infrastructure development, on the one hand, our analysis shows a positive effect of road construction on alleviating the amount of falling dust and CO concentration. On the other hand, the emissions of NO 2 and O x are shown to rise when plotted against road construction. The decline of CO emission, when plotted against both industrial growth and road development, indicates that the ruthlessness of the local government in pursuing green growth policies has been effective in this case. However, the story is not straightforward when it comes to other air pollutants, which hints at the limits of the current policies. The case of Kitakyushu illustrates the complex dynamics of the interaction among policy, industry, infrastructure, and air pollution. It can serve as an important reference point for other cities in the Global South when policies are formed, and progress is measured in the pursuit of a green economy. Finally, as an OECD SDGs pilot city and the leading Asian green-growth city, policymakers in Kitakyushu city are recommended to revise the data policy to enhance the findability and interoperability of data, as well as to invest in the application of big data.

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Section: Discussionmentioning

confidence: 99%

The trilemma of sustainable industrial growth: evidence from a piloting OECD’s Green city

Vuong

Hồ

Nguyen

et al. 2019

Preprint

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“…The treatment is commonly identified through increased accessibility due to transport infrastructure improvements such as the opening of new road or rail connections. A variety of methods is applied in this field: Gibbons & Machin (2005) use Difference-in-Differences models with unique treatment and control groups, Ahlfeldt & Feddersen (2015) identify discontinuities in their data, Yoshino & Abidhadjaev (2017) work with several treatment groups subject to different treatments, and Gibbons et al (2019) estimate the effect of a continuous treatment intensity variable.…”

Section: Literature Reviewmentioning

confidence: 99%

Economic Effects of Transportation Infrastructure Quantity and Quality: A Study of German Counties

Gaus

Link

2020

SSRN Journal

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In this paper, we analyze the impact of transportation infrastructure quantity and quality on regional economic production. We exploit an extensive panel dataset on the German county level (N=401), expressing the capital value and condition of highways between 2007 and 2016, to estimate a spatially extended translog production function. The spatial specification uses SLX and SDEM models, with various linear and nonlinear variants estimated using FGLS and GMM estimators accounting for endogeneity. We find, in line with existing research, a positive impact of the quantity of transport infrastructure both locally and supra-regionally. We furthermore provide evidence for the claim that insufficient maintenance and low infrastructure conditions significantly slow economic growth through a negative correlation between GDP and the quality grade of highways. A more detailed analysis, distinguishing different types of highways and constructions, confirms these findings and underlines the importance of the Bundesstraßen network as compared to the Autobahn system. The estimated impact of the quality of bridges is rather ambiguous and requires further research to achieve a better understanding.

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“…The typical paper uses subnational geographical regions—such as Indian tehsils (Alder, Roberts, & Tewari, ; Khanna, ), Chinese counties (Banerjee, Duflo, & Qian, ), and electoral wards in the United Kingdom (Gibbons, Lyytikäinen, Overman, & Sanchis‐Guarner, )—as the unit of analysis (Figure a) . About 84% of sampled papers rely on data for such regions, whereas 11% utilize micro‐data for individual households.…”

Section: Descriptive Statisticsmentioning

confidence: 99%

“…Banerjee, Duflo, & Qian, 2012), and electoral wards in the United Kingdom(Gibbons, Lyytikäinen, Overman, & Sanchis-Guarner, 2019)-as the unit of analysis (Figure 7a). 17 About 84% of sampled papers rely on data for such regions, whereas 11% utilize micro-data for individual households.…”

mentioning

confidence: 99%

Transport corridors and their wider economic benefits: A quantitative review of the literature

Roberts¹,

Melecký

Bougna

et al. 2019

Journal of Regional Science

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Transport corridors can generate both wider economic benefits (WEBs) and costs through their effects on diverse development outcomes. To advance understanding of how corridors could generate WEBs, this paper undertakes a quantitative review and meta‐analysis of the literature that estimates the impacts of large transport infrastructure projects. The analysis finds that characteristics of individual studies and the design of the transport infrastructure influence estimated benefits. It also shows that, on average, while corridor interventions tend to benefit economic welfare and equity, they often detrimentally impact the environment. To mitigate trade‐offs, policymakers can consider using complementary interventions.

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New road infrastructure: The effects on firms

Cited by 189 publications

References 23 publications

The trilemma of sustainable industrial growth: evidence from a piloting OECD’s Green city

The trilemma of sustainable industrial growth: evidence from a piloting OECD’s Green city

Economic Effects of Transportation Infrastructure Quantity and Quality: A Study of German Counties

Transport corridors and their wider economic benefits: A quantitative review of the literature

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