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From Periphery to Core: Economic Adjustments to High Speed Rail

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  • Ahlfeldt, Gabriel M.
  • Feddersen, Arne

Abstract

This paper presents evidence that high speed rail systems, by bringing economic agents closer together, sustainably promote economic activity within regions that enjoy an increase in accessibility. Our results on the one hand confirm expectations that have led to huge public investments into high speed rail all over the world. On the other hand, they confirm theoretical predictions arising from a consolidate body of (New) Economic Geography literature taking a positive, man-made and reproducible shock as a case in point. We argue that the economic geography framework can help to derive ex-ante predictions on the economic impact of transport projects. The subject case is the German high speed rail track connecting Cologne and Frankfurt, which, as we argue, provides exogenous variation in access to regions due to the construction of intermediate stations in the towns of Limburg and Montabaur.

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Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 25106.

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Date of creation: 2010
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Handle: RePEc:pra:mprapa:25106

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Keywords: NEG; high speed rail; transport policy; market access; acces-sibility;

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Cited by:
  1. Rafael González-Val & Daniel A. Tirado Fabregat & Elisabet Viladecans-Marsal, 2013. "Market potential and city growth : Spain 1860-1960," Working Papers in Economic History wp13-04, Universidad Carlos III, Departamento de Historia Económica e Instituciones.
  2. Verma, Ashish & Sudhira, H.S. & Rathi, Sujaya & King, Robin & Dash, Nibedita, 2013. "Sustainable urbanization using high speed rail (HSR) in Karnataka, India," Research in Transportation Economics, Elsevier, vol. 38(1), pages 67-77.
  3. Gabriel M. Ahlfeldt, 2012. "Rail mega-projects in the realm of inter- and intra-city accessibility: evidence and outlooks for Berlin," LSE Research Online Documents on Economics 43493, London School of Economics and Political Science, LSE Library.
  4. Michael J. Boehm, 2013. "Concentration versus re-matching? Evidence about the locational effects of commuting costs," LSE Research Online Documents on Economics 51542, London School of Economics and Political Science, LSE Library.
  5. Gabriel M. Ahlfeldt, 2011. "If we build, will they pay?: predicting property price effects of transport innovations," LSE Research Online Documents on Economics 33595, London School of Economics and Political Science, LSE Library.
  6. Benjamin Pakula & Georg Götz, 2011. "Organisational Structures in Network Industries – An Application to the Railway Industry," MAGKS Papers on Economics 201109, Philipps-Universität Marburg, Faculty of Business Administration and Economics, Department of Economics (Volkswirtschaftliche Abteilung).
  7. Michael J. Boehm, 2013. "Concentration Versus Re-Matching? Evidence About the Locational Effects of Commuting Costs," CEP Discussion Papers dp1207, Centre for Economic Performance, LSE.

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