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Infrastructure, Economic Growth and Population Density in Turkey

Author

Listed:
  • Mehmet Aldonat Beyzatlar

    (Dokuz Eylül University Kaynaklar Campus Facuty of Business Department of Economics, 35160 Buca – Izmir)

  • Mehmet Yeşim Kuştepeli

    (Dokuz Eylül University Kaynaklar Campus Facuty of Business Department of Economics, 35160 Buca – Izmir)

Abstract

Transportation infrastructure is an exciting topic for public policy, private sector and the connection between them. This study deals with the impact of railways as hard type of transportation infrastructure on economic growth and population density. The purpose of this study is to search for historical relationships between railway infrastructure and economic growth; and between railway infrastructure and population density in Turkey. By using annual data for 1950-2004, both tangible and intangible effects of railway infrastructure are aimed to be estimated. The results form cointegration and causality tests imply that there is a positive long run relationship between railway length and population density and between railway length and real GDP per capita. Railway length causes real GDP per capita to increase only in the long run but it causes population density to increase both in the long and the short run. These results confirm the theoretical framework that improvements in transportation infrastructure lead to higher income and higher population in the investigated area.

Suggested Citation

  • Mehmet Aldonat Beyzatlar & Mehmet Yeşim Kuştepeli, 2011. "Infrastructure, Economic Growth and Population Density in Turkey," International Journal of Business and Economic Sciences Applied Research (IJBESAR), Democritus University of Thrace (DUTH), Kavala Campus, Greece, vol. 4(3), pages 39-57, December.
    • Handle: RePEc:tei:journl:v:4:y:2011:i:3:p:39-57
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    References listed on IDEAS

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    Cited by:

    1. Hülya Saygılı & K. Azim Özdemir, 2021. "Regional economic growth in Turkey: the effects of physical, social and financial infrastructure investment," Empirical Economics, Springer, vol. 60(4), pages 2039-2061, April.
    2. Simeon Karafolas, 2013. "Public financial support to investments in rural areas: The case of the region of Thessaly in Greece," International Journal of Business and Economic Sciences Applied Research (IJBESAR), Democritus University of Thrace (DUTH), Kavala Campus, Greece, vol. 6(2), pages 81-101, September.
    3. Shoshanna Saxe & Dena Kasraian, 2020. "Rethinking environmental LCA life stages for transport infrastructure to facilitate holistic assessment," Journal of Industrial Ecology, Yale University, vol. 24(5), pages 1031-1046, October.
    4. Emmanuel Apergis & Nicholas Apergis, 2019. "“Sakura” has not grown in a day: infrastructure investment and economic growth in Japan under different tax regimes," Empirical Economics, Springer, vol. 57(2), pages 541-567, August.
    5. Zichu, Jin & Masih, Mansur, 2018. "Nexus of infrastructure investment, economic growth and domestic credit level: evidence from China based on nonlinear ARDL approach," MPRA Paper 100595, University Library of Munich, Germany.
    6. Stungwa, Sanele & Daw, Olebogeng David, 2021. "Infrastructure development and population growth on economic growth in South Africa," MPRA Paper 110884, University Library of Munich, Germany.
    7. Camilla Yanushevsky & Rafael Yanushevsky, 2013. "Spending and Growth: A Modified Debt to GDP Dynamic Model," International Journal of Business and Economic Sciences Applied Research (IJBESAR), Democritus University of Thrace (DUTH), Kavala Campus, Greece, vol. 6(3), pages 21-33, December.

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    Keywords

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    JEL classification:

    • H54 - Public Economics - - National Government Expenditures and Related Policies - - - Infrastructures
    • O40 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - General
    • L92 - Industrial Organization - - Industry Studies: Transportation and Utilities - - - Railroads and Other Surface Transportation

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