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On the relationship between transportation infrastructure and economic development in China

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  • Magazzino, Cosimo
  • Mele, Marco

Abstract

This paper aims to explore the impact of transportation infrastructure on economic growth in China at different levels: aggregate and regional. Using a time series approach and panel data for 28 regions (where there are provinces also) over the time 1990–2017, the experimental findings confirms the economic theory of development choices. Although other studies have addressed this problem with the same data, our contribution has been to combine the aggregated results with the regional ones for policy analysis. In addition, we combine a Machine Learning technique capable of verifying causality through a supervised and an econometric approach. The results show that the contribution to the growth of transport investments is different from region to region, but we have highlighted how transport affects economic growth at the aggregate level. However, the lack of infrastructure maintenance eliminates the positive effects of investments over time in the medium term.

Suggested Citation

  • Magazzino, Cosimo & Mele, Marco, 2021. "On the relationship between transportation infrastructure and economic development in China," Research in Transportation Economics, Elsevier, vol. 88(C).
    • Handle: RePEc:eee:retrec:v:88:y:2021:i:c:s0739885920301451
    DOI: 10.1016/j.retrec.2020.100947
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    References listed on IDEAS

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    Cited by:

    1. Abdul Haseeb & Enjun Xia & Shah Saud & Muhammad Usman & Muhammad Umer Quddoos, 2023. "Unveiling the liaison between human capital, trade openness, and environmental sustainability for BRICS economies: Robust panel‐data estimation," Natural Resources Forum, Blackwell Publishing, vol. 47(2), pages 229-256, May.
    2. Feng, Hailin & Lv, Haibin & Lv, Zhihan, 2023. "Resilience towarded Digital Twins to improve the adaptability of transportation systems," Transportation Research Part A: Policy and Practice, Elsevier, vol. 173(C).
    3. Ying Sun & Fengqin Liu & Huaping Sun, 2022. "Does Standardization Improve Carbon Emission Efficiency as Soft Infrastructure? Evidence from China," Energies, MDPI, vol. 15(6), pages 1-17, March.

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