IDEAS home Printed from https://ideas.repec.org/a/gam/jsusta/v14y2022i18p11390-d912003.html
   My bibliography  Save this article

The Impact of High-Speed Railway Opening on Regional Economic Growth: The Case of the Wuhan–Guangzhou High-Speed Railway Line

Author

Listed:
  • Chong Ye

    (School of Advanced Manufacturing, Fuzhou University, Jinjiang 362251, China)

  • Yanhong Zheng

    (School of Advanced Manufacturing, Fuzhou University, Jinjiang 362251, China)

  • Shanlang Lin

    (School of Economics and Management, Tongji University, Shanghai 200092, China)

  • Zhaoyang Zhao

    (North-China Company, Sinopec Chemical Commercial Holding Company Limited, Beijing 100029, China)

Abstract

With the advent of the “ear of high-speed railways”, the space–time distance between cities has drastically decreased. The opening of high-speed railways has not only increased the factor-flow speed across regions, but has also reduced the cost of factor movement. However, there is some controversy about whether high-speed railways can be used to promote regional economic growth. The Wuhan–Guangzhou high-speed railway is the earliest section of the Beijing–Guangzhou high-speed railway, and it was the first high-speed railway in China with a real speed of 350 km per hour. The Wuhan–Guangzhou high-speed railway opening spawned a three-hour economic circle in the south of China, injected new vitality into the economic and social development along the line, and had an important impact on accelerating regional economic interoperability and integration. Taking this into account, this paper took the Wuhan–Guangzhou high-speed railway as the case study. Firstly, this paper used the theory of system dynamics to analyze the mechanism of the impact of high-speed railway opening on regional economic growth. Secondly, the accessibility model was used to analyze the impact of the high-speed railway opening on the accessibility of cities along the line, and a difference-in-differences model (DID) was used to explore the impact of the high-speed railway opening on regional economic growth. Finally, on the basis of the analysis of the previous mechanism, the mechanism of the impact of the high-speed railway on regional economic growth is discussed. The results of this study show the following: (1) Since the opening of the high-speed railway, the accessibility of cities along the line has grown by more than 60%. (2) The opening of the high-speed railway has promoted regional economic growth, mainly through the influence mechanism of “increasing the total cargo volume”. This study not only scientifically and quantitatively analyzed the impact of the opening of high-speed rail on regional economic growth, taking the Wuhan–Guangzhou high-speed railway as an example for empirical analysis, but also further summarized the high-speed railway construction achievements in China and provides reference experience for planning the opening of high-speed railways.

Suggested Citation

  • Chong Ye & Yanhong Zheng & Shanlang Lin & Zhaoyang Zhao, 2022. "The Impact of High-Speed Railway Opening on Regional Economic Growth: The Case of the Wuhan–Guangzhou High-Speed Railway Line," Sustainability, MDPI, vol. 14(18), pages 1-22, September.
    • Handle: RePEc:gam:jsusta:v:14:y:2022:i:18:p:11390-:d:912003
    as

    Download full text from publisher

    File URL: https://www.mdpi.com/2071-1050/14/18/11390/pdf
    Download Restriction: no
    File URL: https://www.mdpi.com/2071-1050/14/18/11390/
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Katarzyna Kopczewska, 2016. "Efficiency of Regional Public Investment: An NPV-Based Spatial Econometric Approach," Spatial Economic Analysis, Taylor & Francis Journals, vol. 11(4), pages 413-431, October.
    2. Vickerman, Roger, 2015. "High-speed rail and regional development: the case of intermediate stations," Journal of Transport Geography, Elsevier, vol. 42(C), pages 157-165.
    3. Travis St. Clair & Thomas D. Cook, 2015. "Difference-in-Differences Methods in Public Finance," Mathematica Policy Research Reports f0eca79db83a410d9d45f4329, Mathematica Policy Research.
    4. Chandra, Shailesh & Vadali, Sharada, 2014. "Evaluating accessibility impacts of the proposed America 2050 high-speed rail corridor for the Appalachian Region," Journal of Transport Geography, Elsevier, vol. 37(C), pages 28-46.
    5. Thorsten Beck & Ross Levine & Alexey Levkov, 2010. "Big Bad Banks? The Winners and Losers from Bank Deregulation in the United States," Journal of Finance, American Finance Association, vol. 65(5), pages 1637-1667, October.
    6. Jia, Shanming & Zhou, Chunyu & Qin, Chenglin, 2017. "No difference in effect of high-speed rail on regional economic growth based on match effect perspective?," Transportation Research Part A: Policy and Practice, Elsevier, vol. 106(C), pages 144-157.
    7. Benjamin Faber, 2014. "Trade Integration, Market Size, and Industrialization: Evidence from China's National Trunk Highway System," The Review of Economic Studies, Review of Economic Studies Ltd, vol. 81(3), pages 1046-1070.
    8. Feng Li & Yang Su & Jiaping Xie & Weijun Zhu & Yahua Wang, 2020. "The Impact of High-Speed Rail Opening on City Economics along the Silk Road Economic Belt," Sustainability, MDPI, vol. 12(8), pages 1-16, April.
    9. Jibo Yu & Yuanhang Zhou & Qian Huang & Xuemei Li & Yiwen Hou & Xu Wang, 2021. "Analysis of the Impact of High-Speed Railway on County Economic Development Based on the Synthetic Control Method: The Hubei Province in China," Mathematical Problems in Engineering, Hindawi, vol. 2021, pages 1-16, November.
    10. Yi Chen & Ziying Fan & Xiaomin Gu & Li-An Zhou, 2020. "Arrival of Young Talent: The Send-Down Movement and Rural Education in China," American Economic Review, American Economic Association, vol. 110(11), pages 3393-3430, November.
    11. Chia-Lin Chen & Roger Vickerman, 2017. "Can transport infrastructure change regions’ economic fortunes? Some evidence from Europe and China," Regional Studies, Taylor & Francis Journals, vol. 51(1), pages 144-160, January.
    12. Travis St. Clair & Thomas D. Cook, 2015. "Difference-in-Differences Methods in Public Finance," National Tax Journal, National Tax Association;National Tax Journal, vol. 68(2), pages 319-338, June.
    13. Roger Vickerman, 1997. "High-speed rail in Europe: experience and issues for future development," The Annals of Regional Science, Springer;Western Regional Science Association, vol. 31(1), pages 21-38.
    14. Ashenfelter, Orley & Card, David, 1985. "Using the Longitudinal Structure of Earnings to Estimate the Effect of Training Programs," The Review of Economics and Statistics, MIT Press, vol. 67(4), pages 648-660, November.
    15. Aschauer, David Alan, 1989. "Is public expenditure productive?," Journal of Monetary Economics, Elsevier, vol. 23(2), pages 177-200, March.
    16. Gabriel M. Ahlfeldt & Arne Feddersen, 2010. "From periphery to core: economic adjustments to high speed rail," Working Papers 2010/38, Institut d'Economia de Barcelona (IEB).
    17. Sophie Masson & Romain Petiot, 2009. "Can the high speed rail reinforce tourism attractiveness ? The case of the hagh speed rail between Perpignan (france) and Barcelona (Spain)," Post-Print hal-03062650, HAL.
    18. Yatang Lin & Yu Qin & Jing Wu & Mandi Xu, 2021. "Impact of high-speed rail on road traffic and greenhouse gas emissions," Nature Climate Change, Nature, vol. 11(11), pages 952-957, November.
    19. Wu, Qitao & Fan, Jie & Zhang, Hongou & Ye, Yuyao, 2017. "The spatial impacts model of trans-strait fixed links: A case study of the Pearl River Delta, China," Journal of Transport Geography, Elsevier, vol. 63(C), pages 30-39.
    20. Sophie Masson & Romain Petiot, 2009. "Can the High Speed Rail reinforce tourism attractiveness? The case of the High Speed Railway section between Perpignan (France) and Barcelona (Spain)," Post-Print hal-02422659, HAL.
    21. Bazoumana Ouattara & Yin-Fang Zhang, 2019. "Infrastructure and long-run economic growth: evidence from Chinese provinces," Empirical Economics, Springer, vol. 57(1), pages 263-284, July.
    22. Min Jiang & Euijune Kim, 2016. "Impact of high-speed railroad on regional income inequalities in China and Korea," International Journal of Urban Sciences, Taylor & Francis Journals, vol. 20(3), pages 393-406, September.
    23. Ortega, Emilio & López, Elena & Monzón, Andrés, 2012. "Territorial cohesion impacts of high-speed rail at different planning levels," Journal of Transport Geography, Elsevier, vol. 24(C), pages 130-141.
    24. Shirley, Chad & Winston, Clifford, 2004. "Firm inventory behavior and the returns from highway infrastructure investments," Journal of Urban Economics, Elsevier, vol. 55(2), pages 398-415, March.
    25. Durham, J.B.J. Benson, 2004. "Absorptive capacity and the effects of foreign direct investment and equity foreign portfolio investment on economic growth," European Economic Review, Elsevier, vol. 48(2), pages 285-306, April.
    26. Zou, Wei & Chen, Liangheng & Xiong, Junke, 2021. "High-speed railway, market access and economic growth," International Review of Economics & Finance, Elsevier, vol. 76(C), pages 1282-1304.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Zhang, Yanyan & Ma, Wenliang & Yang, Hangjun & Wang, Qiang, 2021. "Impact of high-speed rail on urban residents’ consumption in China—from a spatial perspective," Transport Policy, Elsevier, vol. 106(C), pages 1-10.
    2. Huang, Ying & Xu, Wangtu (Ato), 2021. "Spatial and temporal heterogeneity of the impact of high-speed railway on urban economy: Empirical study of Chinese cities," Journal of Transport Geography, Elsevier, vol. 91(C).
    3. Bo Yang & Yaping Yang & Yangxiaoyue Liu & Xiafang Yue, 2022. "Spatial Structure Evolution and Economic Benefits of Rapidly Expanding the High-Speed Rail Network in Developing Regions: A Case Study in Western China," Sustainability, MDPI, vol. 14(23), pages 1-20, November.
    4. Xu, Wangtu (Ato) & Zhou, Jiangping & Qiu, Guo, 2018. "China's high-speed rail network construction and planning over time: a network analysis," Journal of Transport Geography, Elsevier, vol. 70(C), pages 40-54.
    5. Liu, Mengsha & Jiang, Yan & Wei, Xiaokun & Ruan, Qingsong & Lv, Dayong, 2023. "Effect of high-speed rail on entrepreneurial activities: Evidence from China," Socio-Economic Planning Sciences, Elsevier, vol. 87(PA).
    6. Yang, Xuehui & Zhang, Huirong & Li, Yan, 2022. "High-speed railway, factor flow and enterprise innovation efficiency: An empirical analysis on micro data," Socio-Economic Planning Sciences, Elsevier, vol. 82(PB).
    7. Huang, Yan & Zong, Huiming, 2020. "The spatial distribution and determinants of China’s high-speed train services," Transportation Research Part A: Policy and Practice, Elsevier, vol. 142(C), pages 56-70.
    8. Weidong Li & Xuefang Wang & Olli-Pekka Hilmola, 2020. "Does High-Speed Railway Influence Convergence of Urban-Rural Income Gap in China?," Sustainability, MDPI, vol. 12(10), pages 1-14, May.
    9. Di Matteo, Dante & Mariotti, Ilaria & Rossi, Federica, 2023. "Transport infrastructure and economic performance: An evaluation of the Milan-Bologna high-speed rail corridor," Socio-Economic Planning Sciences, Elsevier, vol. 85(C).
    10. Yanyan Gao & Xinping Wang, 2023. "Chinese agriculture in the age of high‐speed rail: Effects on agricultural value added and food output," Agribusiness, John Wiley & Sons, Ltd., vol. 39(2), pages 387-405, March.
    11. Xiangjing Zeng & Yong Ma & Jie Ren & Biao He, 2022. "Analysis of the Green Development Effects of High-Speed Railways Based on Eco-Efficiency: Evidence from Multisource Remote Sensing and Statistical Data of Urban Agglomerations in the Middle Reaches of," IJERPH, MDPI, vol. 19(24), pages 1-20, December.
    12. Kim, Hyojin & Sultana, Selima & Weber, Joe, 2018. "A geographic assessment of the economic development impact of Korean high-speed rail stations," Transport Policy, Elsevier, vol. 66(C), pages 127-137.
    13. Liu, Jingyang & Yang, Haoran, 2023. "Income allocation and distribution along with high-speed rail development in China," Transportation Research Part A: Policy and Practice, Elsevier, vol. 175(C).
    14. Liansheng Zheng & Juncheng Li & Zhihua Zhao, 2022. "High‐Speed Rail Service and the Issuance of Municipal Corporate Bonds," China & World Economy, Institute of World Economics and Politics, Chinese Academy of Social Sciences, vol. 30(4), pages 230-254, July.
    15. Li, Xiaolong & Wu, Zongfa & Zhao, Xingchen, 2020. "Economic effect and its disparity of high speed rail in China: A study of mechanism based on synthesis control method," Transport Policy, Elsevier, vol. 99(C), pages 262-274.
    16. Chen Yonghong, 2019. "High-speed railway and regional economic growth: a case of Beijing-Shanghai high-speed railway," HOLISTICA – Journal of Business and Public Administration, Sciendo, vol. 10(2), pages 95-104, August.
    17. Cascetta, Ennio & Cartenì, Armando & Henke, Ilaria & Pagliara, Francesca, 2020. "Economic growth, transport accessibility and regional equity impacts of high-speed railways in Italy: ten years ex post evaluation and future perspectives," Transportation Research Part A: Policy and Practice, Elsevier, vol. 139(C), pages 412-428.
    18. Hernández, Aday & Jiménez, Juan Luis, 2014. "Does high-speed rail generate spillovers on local budgets?," Transport Policy, Elsevier, vol. 35(C), pages 211-219.
    19. Bingyu Wu & Weidong Li & Jingyu Chen, 2022. "Networked Transport and Economic Growth: Does High-Speed Rail Narrow the Gap between Cities in China?," Sustainability, MDPI, vol. 14(10), pages 1-20, May.
    20. Liang, Yutian & Zhou, Keyang & Li, Xun & Zhou, Zhengke & Sun, Wei & Zeng, Jiaqi, 2020. "Effectiveness of high-speed railway on regional economic growth for less developed areas," Journal of Transport Geography, Elsevier, vol. 82(C).

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:gam:jsusta:v:14:y:2022:i:18:p:11390-:d:912003. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: MDPI Indexing Manager (email available below). General contact details of provider: https://www.mdpi.com .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.