Network effects of public transport infrastructure: evidence on Italian regions
AbstractThis paper contributes to the empirical literature on the magnitude of the network effects of public infrastructures, introducing a novel approach. After estimating the dynamics common to time series for the regional public capital stock, coordinated policy shocks are identified within a properly specified structural VEC model. The findings confirm previous evidence that transport infrastructures exert positive macroeconomic effects in the long run. At the same time, it is shown that this effect is attributable mostly to the impact of coordinated public policy shocks, as the literature on network externalities predicts.
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Bibliographic InfoPaper provided by Bank of Italy, Economic Research and International Relations Area in its series Temi di discussione (Economic working papers) with number 869.
Date of creation: Jul 2012
Date of revision:
public capital; transport infrastructure; public policy coordination; network externalities; VEC model.;
This paper has been announced in the following NEP Reports:
- NEP-ALL-2012-07-23 (All new papers)
- NEP-GEO-2012-07-23 (Economic Geography)
- NEP-NET-2012-07-23 (Network Economics)
- NEP-TRE-2012-07-23 (Transport Economics)
- NEP-URE-2012-07-23 (Urban & Real Estate Economics)
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