In the section Articles
Title of the article Transport Infrastructure and Economic Growth: Spatial Effects
Pages 57-73
Author 1 Artyom Gennadyevich Isaev
Candidate Economics, Section Head.
Economic Research Institute FEB RAS
153 Tikhookeanskaya Street, Khabarovsk, Russia, 680042
This email address is being protected from spambots. You need JavaScript enabled to view it.
Abstract The author specifies an empirical framework of neoclassical growth model in order to examine impact of transport infrastructure on economic growth in Russian regions during period of 2000-2013. Two different effects of infrastructure are considered. First, infrastructure is viewed as part of region’s own production function. Second, infrastructure generates spillover effect on adjacent regions’ economic performance which can be negative or positive. Results imply that road infrastructure has a positive influence on regional growth, but sign of railroad infrastructure coefficient depends on whether or not congestion effect is considered. Negative spillover effect is shown to exist in the case of road infrastructure. This apparently means that rapid road infrastructure development in some regions moves mobile factors of production away from adjacent regions retarding their economic development. The spillover effect of railroad infrastructure is significant and negative again only if congestion effect is considered. The results of estimation for the Far East and Baikal Regions separately demonstrate no significant effect of both types of infrastructure for economic performance and negative spillover effect of road infrastructure.
Code 330+332
DOI 10.14530/se.2015.3.057-073
Keywords ♦ regional growth ♦ transport infrastructure ♦ spatial externalities ♦ Russian regions ♦ generalized method of moments
Download SE.2015.3.057-073.Isaev.pdf
For citation Isaev A.G. Transport Infrastructure and Economic Growth: Spatial Effects. Prostranstvennaya Ekonomika = Spatial Economics, 2015, no. 3, pp. 57-73. DOI: 10.14530/se.2015.3.057-073. (In Russian).
References 1. Isaev A.G. Public Investment as a Determinant of Economic Growth of the Russian Regions. Regionalistica = Regionalistics, no.4, 2014, pp. 61–72. (In Russian).
2. Kolomak E.A. Efficiency of Infrastructure Capital in Russia. Zhurnal Novoy Ekonomicheskoy Assotsiatsii – The Journal of the New Economic Association, 2011, no. 10, pp. 74–93. (In Russian).
3. Minakir P.A. The State Program and New Model of the Far East and Baikal Region Management. Russia’s Regional Development Plans and International Cooperation (The 8th KIEP – ERI Seminar. 13 June. 2013). Seoul: Korea Institute for International Economic Policy, 2013, pp. 13–20. (In Russian).
4. Regions of Russia. Socio-Economic Indicators: Statistical Collection. Federal State Statistic Service of Russian Federation. Available at: (accessed June 2015). (In Russian).
5. Construction of Kolyma-Chukotka Highway Started. State Television and Radio Broadcasting Company «Magadan», 2015, 12 May. Available at: (accessed 25 May 2015). (In Russian).
6. Shcherbanin Yu.А. Transport and Economic Growth: Relationship and Influence. Evraziyskay Ekonomicheskaya Integratsiya [Eurasian Economic Integration], 2011, no. 3 (12), pp. 65–78. (In Russian).
7. Aschauer D. Is Public Expenditure Productive? Journal of Monetary Economics, 1989, vol. 23, no. 2, pp. 177–200. DOI: 10.1016/0304-3932(89)90047-0
8. Baltagi B. Econometric Analysis of Panel Data. 3rd Edition. Wiley, 2005, 314 р.
9. Barro R., Sala-i-Martin X. Economic Growth. 2nd Edition. Cambridge: Тhe MIT Press, 2004, 654 р.
10. Boarnet M. Spillovers and the Locational Effects of Public Infrastructure. Journal of Regional Science, 1998, vol. 38, no. 3. pp. 381–400. DOI: 10.1111/0022-4146.00099
11. Bougheas S., Demetriades P., Mamuneas T. Infrastructure, Specialization, and Economic Growth. Canadian Journal of Economics, 2000, vol. 33, no. 2, pp. 506–522.
12. Brocker J., Rietveld P. Infrastructure and Regional Development. Handbook of Regional Growth and Development Theories. Edited by R. Capello, P. Nijkamp. Edward Elgar, 2009, pp. 152–181.
13. Crescenzi R., Rodriguez-Pose A. Infrastructure and Regional Growth in the European Union. Papers in Regional Science, 2012, 91 (3), pp. 487–513.
14. Fujita M., Krugman P., Venables A. The Spatial Economy: Cities, Regions and International Trade. Cambridge, Massachusetts: The MIT Press, 1999, 367 р.
15. Holtz-Eakin D. Public-Sector Capital and the Productivity Puzzle. Review of Economics and Statistics, 1994, vol. 76, no. 1, pp. 12–21. DOI: 10.2307/2109822
16. Ledyaeva S., Linden M. Determinants of Economic Growth: Empirical Evidence from Russian Regions. The European Journal of Comparative Economics, 2008, vol. 5, no. 1, pp. 87–105.

ISSN (Print) 1815-9834
ISSN (Online) 2587-5957

Minakir Pavel Aleksandrovich,
Tel.: +7 (4212) 725-225,
Fax: +7 (4212) 225-916,
Samokhina Lyudmila, Executive Editor
Tel.: +7 (4212) 226-053
Fax: +7 (4212) 225-916,
Tel.: +7 (4212) 226-053,
Fax: +7 (4212) 225-916,
To Editorial Staff of “Spatial Economics”
Economic Research Institute FEB RAS
153 Tikhookeanskaya St., Khabarovsk, RUSSIA, 680042



Creative Commons License
Unless otherwise noted, content on this site is licensed under a Creative Commons Attribution 4.0 International License