Abstract
This paper investigates the relationship between the growth of roads and economic development. We test for mutual causality between the growth of road networks (which are divided functionally into local roads and highways) and changes in county-level population and employment. We employ a panel data set containing observations of road mileage by type for all Minnesota counties over the period 1988 to 2007 to fit a model describing changes in road networks, population and employment. Results indicate that causality runs in both directions between population and local road networks, while no evidence of causality in either direction is found for networks and local employment. We interpret the findings as evidence of a weakening influence of road networks (and transportation more generally) on location, and suggest methods for refining the empirical approach described herein.
| Original language | English (US) |
|---|---|
| Pages (from-to) | 209-217 |
| Number of pages | 9 |
| Journal | Transport Policy |
| Volume | 45 |
| DOIs | |
| State | Published - Jan 1 2016 |
Bibliographical note
Funding Information:This research was funded by the Minnesota Department of Transportation as part of the project Case Studies of Transportation Investment to Identify the Impacts on the Local and State Economy. The authors are responsible for all findings.
Publisher Copyright:
© 2015 Elsevier Ltd.
Keywords
- Economic development
- Employment
- Highways
- Minnesota
- Panel data
- Population
