IDEAS home Printed from https://ideas.repec.org/p/ipt/termod/201904.html
   My bibliography  Save this paper

Estimating road transport costs between EU regions

Author

Abstract

Transport costs are a crucial element of any spatial economic model. Surprisingly, good transport cost estimates at a detailed spatial level for the EU are not readily available. In this paper we address this issue by estimating a novel dataset of road freight transport costs for goods for the EU regions at the NUTS 2 level. In the spirit of the generalized transport cost (GTC) concept, we calculate the composite cost related to distance and time for the optimal route of a representative truck. We consider routes between large random samples of centroids drawn from a 1kmx1km population density grid. These transport costs are averaged to obtain an origin-destination cost matrix (in euros) at the region-pair level. The sampling approach also allows calculating the average transport cost within the regions. We separately report the corresponding iceberg transport costs for each pair of European regions, since this is the form of input required by many economic models. We also consider the effect of changes in the components of the GTC in order to evaluate transport policies. We set up a transport policy tool to assess the impact of road-transport infrastructure investment in a region by considering upgrading roads to highways. We apply this tool to study transport infrastructure investment through the European Cohesion Policy program 2014-2020.

Suggested Citation

  • Damiaan Persyn & Jorge Diaz-Lanchas & Javier Barbero, 2019. "Estimating road transport costs between EU regions," JRC Working Papers on Territorial Modelling and Analysis 2019-04, Joint Research Centre.
    • Handle: RePEc:ipt:termod:201904
    as

    Download full text from publisher

    File URL: https://publications.jrc.ec.europa.eu/repository/handle/JRC114409
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Teixeira, Antonio Carlos, 2006. "Transport policies in light of the new economic geography: The Portuguese experience," Regional Science and Urban Economics, Elsevier, vol. 36(4), pages 450-466, July.
    2. Mark Thissen & Olga Ivanova & Giovanni Mandras & Trond Husby, 2019. "European NUTS 2 regions: construction of interregional trade-linked Supply and Use tables with consistent transport flows," JRC Working Papers on Territorial Modelling and Analysis 2019-01, Joint Research Centre.
    3. Pierre-Philippe Combes & Miren Lafourcade, 2005. "Transport costs: measures, determinants, and regional policy implications for France," Journal of Economic Geography, Oxford University Press, vol. 5(3), pages 319-349, June.
    4. Inmaculada Martinez-Zarzoso & Felicitas D. Nowak-Lehmann, 2007. "Is distance a good proxy for transport costs? The case of competing transport modes," The Journal of International Trade & Economic Development, Taylor & Francis Journals, vol. 16(3), pages 411-434.
    5. Hillberry, Russell & Hummels, David, 2013. "Trade Elasticity Parameters for a Computable General Equilibrium Model," Handbook of Computable General Equilibrium Modeling, in: Peter B. Dixon & Dale Jorgenson (ed.), Handbook of Computable General Equilibrium Modeling, edition 1, volume 1, chapter 0, pages 1213-1269, Elsevier.
    6. Patrizio Lecca & Javier Barbero Jimenez & Martin Aaroe Christensen & Andrea Conte & Francesco Di Comite & Jorge Diaz-Lanchas & Olga Diukanova & Giovanni Mandras & Damiaan Persyn & Stylianos Sakkas, 2018. "RHOMOLO V3:A Spatial Modelling Framework," JRC Research Reports JRC111861, Joint Research Centre.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Javier Barbero & Simone Salotti, 2021. "A general equilibrium analysis of the effects of the 2014-2020 European Cohesion policy in the Portuguese regions," JRC Working Papers on Territorial Modelling and Analysis 2021-02, Joint Research Centre.
    2. Patrizio Lecca & Martin Christensen & Andrea Conte & Giovanni Mandras & Simone Salotti, 2020. "Upward pressure on wages and the interregional trade spillover effects under demand‐side shocks," Papers in Regional Science, Wiley Blackwell, vol. 99(1), pages 165-182, February.
    3. Jose L. Zofio & Jorge Diaz-Lanchas & Damiaan Persyn & Javier Barbero, 2020. "Estimating foreign and national trade elasticities in the EU internal market using Generalised Transport Costs," JRC Working Papers on Territorial Modelling and Analysis 2020-05, Joint Research Centre.
    4. Patrizio Lecca & Javier Barbero Jimenez & Martin Aaroe Christensen & Andrea Conte & Francesco Di Comite & Jorge Diaz-Lanchas & Olga Diukanova & Giovanni Mandras & Damiaan Persyn & Stylianos Sakkas, 2018. "RHOMOLO V3:A Spatial Modelling Framework," JRC Research Reports JRC111861, Joint Research Centre.
    5. Javier Barbero & Olga Diukanova & Carlo Gianelle & Simone Salotti & Artur Santoalha, 2022. "Economic modelling to evaluate Smart Specialisation: an analysis of research and innovation targets in Southern Europe," Regional Studies, Taylor & Francis Journals, vol. 56(9), pages 1496-1509, September.
    6. Sara Ceschia & Luca Di Gaspero & Antonella Meneghetti, 2020. "Extending and Solving the Refrigerated Routing Problem," Energies, MDPI, vol. 13(23), pages 1-24, November.
    7. Theodore Tsekeris, 2022. "Freight Transport Cost and Urban Sprawl across EU Regions," Sustainability, MDPI, vol. 14(9), pages 1-17, April.
    8. Yevgeniya Shevtsova & Jorge Diaz-Lanchas & Damiaan Persyn & Giovanni Mandras, 2021. "Do Cohesion Funds foster regional trade integration? A structural gravity analysis for the EU regions," JRC Working Papers on Territorial Modelling and Analysis 2021-07, Joint Research Centre.
    9. Damiaan Persyn & Jorge Diaz-Lanchas & Javier Barbero & Andrea Conte & Simone Salotti, 2020. "A new dataset of distance and time related transport costs for EU regions," JRC Research Reports JRC119412, Joint Research Centre.
    10. Melinda Timea Fülöp & Miklós Gubán & György Kovács & Mihály Avornicului, 2021. "Economic Development Based on a Mathematical Model: An Optimal Solution Method for the Fuel Supply of International Road Transport Activity," Energies, MDPI, vol. 14(10), pages 1-22, May.
    11. Johannes Enzmann & Marc Ringel, 2020. "Reducing Road Transport Emissions in Europe: Investigating A Demand Side Driven Approach †," Sustainability, MDPI, vol. 12(18), pages 1-31, September.
    12. Francesca Crucitti & Nicholas-Joseph Lazarou & Philippe Monfort & Simone Salotti, 2021. "A scenario analysis of the 2021-2027 European Cohesion Policy in Bulgaria and its regions," JRC Working Papers on Territorial Modelling and Analysis 2021-06, Joint Research Centre.

    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. Persyn, Damiaan & Díaz-Lanchas, Jorge & Barbero, Javier, 2022. "Estimating road transport costs between and within European Union regions," Transport Policy, Elsevier, vol. 124(C), pages 33-42.
    2. Jose L. Zofio & Jorge Diaz-Lanchas & Damiaan Persyn & Javier Barbero, 2020. "Estimating foreign and national trade elasticities in the EU internal market using Generalised Transport Costs," JRC Working Papers on Territorial Modelling and Analysis 2020-05, Joint Research Centre.
    3. Zofío, Jose L. & Condeço-Melhorado, Ana M. & Maroto-Sánchez, Andrés & Gutiérrez, Javier, 2014. "Generalized transport costs and index numbers: A geographical analysis of economic and infrastructure fundamentals," Transportation Research Part A: Policy and Practice, Elsevier, vol. 67(C), pages 141-157.
    4. Javier Barbero & Olga Diukanova & Carlo Gianelle & Simone Salotti & Artur Santoalha, 2022. "Economic modelling to evaluate Smart Specialisation: an analysis of research and innovation targets in Southern Europe," Regional Studies, Taylor & Francis Journals, vol. 56(9), pages 1496-1509, September.
    5. Behrens, Kristian & Gaigné, Carl & Thisse, Jacques-François, 2009. "Industry location and welfare when transport costs are endogenous," Journal of Urban Economics, Elsevier, vol. 65(2), pages 195-208, March.
    6. Filippo Di Pietro & Patrizio Lecca & Simone Salotti, 2021. "Regional economic resilience in the European Union: a numerical general equilibrium analysis," Spatial Economic Analysis, Taylor & Francis Journals, vol. 16(3), pages 287-312, July.
    7. Patrizio Lecca & Martin Christensen & Andrea Conte & Giovanni Mandras & Simone Salotti, 2020. "Upward pressure on wages and the interregional trade spillover effects under demand‐side shocks," Papers in Regional Science, Wiley Blackwell, vol. 99(1), pages 165-182, February.
    8. Combes, Pierre-Philippe & Lafourcade, Miren, 2011. "Competition, market access and economic geography: Structural estimation and predictions for France," Regional Science and Urban Economics, Elsevier, vol. 41(6), pages 508-524.
    9. Alessio Baldassarre & Danilo Carullo & Paolo Di Caro & Elisa Fusco & Pasquale Giacobbe & Carlo Orecchia, 2023. "Bilateral Regional Trade Flows in Italy: an Origin-Destination-Commodity GWR-SAR approach," Working Papers wp2023-18, Ministry of Economy and Finance, Department of Finance.
    10. Javier Barberoa & Olga Diukanovaa & Carlo Gianellea & Simone Salottia & Artur Santoalha, 2020. "Economic modelling to evaluate Smart Specialisation: an analysis on research and innovation targets in Southern Europe," Working Papers on Innovation Studies 20200525, Centre for Technology, Innovation and Culture, University of Oslo.
    11. Giovanni Mandras & Andrea Conte & Simone Salotti, 2019. "The RHOMOLO-IO modelling framework: a flexible Input-Output tool for policy analysis," JRC Working Papers on Territorial Modelling and Analysis 2019-06, Joint Research Centre.
    12. Damiaan Persyn & Jorge Diaz-Lanchas & Javier Barbero & Andrea Conte & Simone Salotti, 2020. "A new dataset of distance and time related transport costs for EU regions," JRC Research Reports JRC119412, Joint Research Centre.
    13. Christensen, Martin & Weiers, Georg & Wolski, Marcin, 2019. "The 2019 assessment of the macroeconomic effects of the European Fund for Strategic Investments with the RHOMOLO-EIB model," INVESTIGACIONES REGIONALES - Journal of REGIONAL RESEARCH, Asociación Española de Ciencia Regional, issue 45, pages 5-15.
    14. Francesca Crucitti & Nicholas-Joseph Lazarou & Philippe Monfort & Simone Salotti, 2021. "A scenario analysis of the 2021-2027 European Cohesion Policy in Bulgaria and its regions," JRC Working Papers on Territorial Modelling and Analysis 2021-06, Joint Research Centre.
    15. Egger, Peter H. & Loumeau, Gabriel & Loumeau, Nicole, 2023. "China's dazzling transport-infrastructure growth: Measurement and effects," Journal of International Economics, Elsevier, vol. 142(C).
    16. Yevgeniya Shevtsova & Jorge Diaz-Lanchas & Damiaan Persyn & Giovanni Mandras, 2021. "Do Cohesion Funds foster regional trade integration? A structural gravity analysis for the EU regions," JRC Working Papers on Territorial Modelling and Analysis 2021-07, Joint Research Centre.
    17. Crucitti, Francesca & Lazarou, Nicholas-Joseph & Monfort, Philippe & Salotti, Simone, 2023. "Where does the EU cohesion policy produce its benefits? A model analysis of the international spillovers generated by the policy," Economic Systems, Elsevier, vol. 47(3).
    18. Behrens, Kristian & Carl Gaigne & Jacques-Francois Thisse, 2006. "Is the regulation of the transport sector always detrimental to consumers?," CIRJE F-Series CIRJE-F-455, CIRJE, Faculty of Economics, University of Tokyo.
    19. Puga, Diego, 2008. "Agglomeration and cross-border infrastructure," EIB Papers 9/2008, European Investment Bank, Economics Department.
    20. Giovanni Mandras & Simone Salotti, 2021. "Indirect jobs in activities related to coal, peat and oil shale: a RHOMOLO-IO analysis on the EU regions," JRC Working Papers on Territorial Modelling and Analysis 2021-11, Joint Research Centre.

    More about this item

    Keywords

    Rhomolo; Region; Growth; Generalized Transport Costs; Infrastructure; Cohesion Policy; OSM; EU.;
    All these keywords.

    JEL classification:

    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes
    • R12 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Size and Spatial Distributions of Regional Economic Activity; Interregional Trade (economic geography)
    • R40 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - General
    • R41 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Transportation Economics - - - Transportation: Demand, Supply, and Congestion; Travel Time; Safety and Accidents; Transportation Noise

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    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:ipt:termod:201904. 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: Publication Officer (email available below). General contact details of provider: https://edirc.repec.org/data/ipjrces.html .

    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.