The economic impact of inland ports on regional development: Evidence from the Yangtze River region

Abstract

Existing literature on inland ports has rarely discussed the regional economic dimension of inland port development. The economic impact of inland ports on host cities and regions is unclear. This paper accordingly seeks to fill this gap by analyzing the economic impact of the Yangtze River inland ports on regional development. To this end, this paper analyses the impact of inland port activities on regional development for a sample of 22 inland ports located in the Yangtze River Basin, observed over the period 2000–2018. The paper uses a spatial econometric model to estimate the direct and spillover effects associated with inland port activities. The results indicate that while Yangtze River inland ports induce a non-negligible economic impact on local economic development, positive and larger spatial spillover effects occur outside the host city where the inland port is located. This paper provides new evidence for the economic impact of inland ports on regional development and provides the basis for the policy of investing in the Yangtze River inland ports.