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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), Eastern Macedonia and Thrace Institute of Technology (EMATTECH), Kavala, 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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    File URL: http://ijbesar.teiemt.gr/docs/volume4_issue3/population_density_turkey.pdf
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    File URL: http://ijbesar.teiemt.gr/volume4_issue3.php
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    References listed on IDEAS

    as
    1. Andrew F. Haughwout, 1999. "Regional fiscal cooperation in metropolitan areas: An exploration," Journal of Policy Analysis and Management, John Wiley & Sons, Ltd., vol. 18(4), pages 579-600.
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    3. Boarnet, Marlon G. & Haughwout, Andrew F., 2000. "Do Highways Matter? Evidence and Policy Implications of Highways' Influence on Metropolitan Development," University of California Transportation Center, Working Papers qt5rn9w6bz, University of California Transportation Center.
    4. John G. Fernald, 1999. "Roads to Prosperity? Assessing the Link between Public Capital and Productivity," American Economic Review, American Economic Association, vol. 89(3), pages 619-638, June.
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    6. Spiros Bougheas & Panicos O. Demetriades & Theofanis P. Mamuneas, 2000. "Infrastructure, specialization, and economic growth," Canadian Journal of Economics, Canadian Economics Association, vol. 33(2), pages 506-522, May.
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    8. Blanca Sanchez-Robles, 1998. "Infrastructure Investment And Growth: Some Empirical Evidence," Contemporary Economic Policy, Western Economic Association International, vol. 16(1), pages 98-108, January.
    9. repec:cdl:uctcwp:1735046 is not listed on IDEAS
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    Citations

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    Cited by:

    1. 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), Eastern Macedonia and Thrace Institute of Technology (EMATTECH), Kavala, Greece, vol. 6(2), pages 81-101, September.
    2. 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), Eastern Macedonia and Thrace Institute of Technology (EMATTECH), Kavala, Greece, vol. 6(3), pages 21-33, December.

    More about this item

    Keywords

    Hard types of infrastructure; Public Policy; Transportation systems; Railways; Causality;

    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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