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Airport Activity and Local Development: Evidence from Italy


Author Info

  • Marco Percoco

    (Department of Institutional Analysis and Public Management, Bocconi University, Piazza Sraffa 11, Milano, MI 20121, Italy,


The role of infrastructure as a factor of growth and development of countries and regions is often considered to be crucial. Among the various types of transport infrastructure, airports are considered as particularly strategic because of the increasing importance of air transport in connecting territories. This paper studies the impact of airports on Italian provinces. To this end, it builds on the framework proposed by Brueckner, where sectoral employment is regressed on a series of controls and on airline traffic. That framework is extended to take account of selection bias due to the location choices of airports and spatial spillover effects. It is found that the elasticity of service-sector employment to airport passengers is 0.045 and that of spillover effects due to neighbouring airports is almost 0.017.

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Bibliographic Info

Article provided by Urban Studies Journal Limited in its journal Urban Studies.

Volume (Year): 47 (2010)
Issue (Month): 11 (October)
Pages: 2427-2443

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Handle: RePEc:sae:urbstu:v:47:y:2010:i:11:p:2427-2443

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Cited by:
  1. Zietsman, Davina & Vanderschuren, Marianne, 2014. "Analytic Hierarchy Process assessment for potential multi-airport systems – The case of Cape Town," Journal of Air Transport Management, Elsevier, vol. 36(C), pages 41-49.
  2. Malina, Robert & Albers, Sascha & Kroll, Nathalie, 2011. "Airport incentive programs: A European perspective," Working Paper Series 107, University of Cologne, Department of Business Policy and Logistics.
  3. Alderighi Marco & Gaggero Alberto A., 2012. "Air Accessibility and Export Capability of the Italian Manufacturing Industry," L'industria, Società editrice il Mulino, issue 4, pages 635-662.
  4. Andrea Migliardi & Valter Di Giacinto, 2013. "Low cost carriers and foreign tourism in Italy: a cointegrated VAR analysis," ERSA conference papers ersa13p47, European Regional Science Association.
  5. Tamás Dusek & Miklós Lukovics & Patrick Bohl, 2011. "The economic impact of the Budapest Airport on the local economy," ERSA conference papers ersa11p1228, European Regional Science Association.
  6. Allroggen, Florian & Malina, Robert & Lenz, Ann-Katrin, 2013. "Which factors impact on the presence of incentives for route and traffic development? Econometric evidence from European airports," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 60(C), pages 49-61.
  7. Gitto, Simone & Mancuso, Paolo, 2012. "Bootstrapping the Malmquist indexes for Italian airports," International Journal of Production Economics, Elsevier, vol. 135(1), pages 403-411.


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