The Impact of Transport Investments on Competitiveness

Abstract

At different policy levels, from local to European, the concept of competitiveness is used to stimulate or promote a region. Often it is assumed that regions can compete with each other on aspects such as labour market, education, investments or human capital. This is also true for investments in transport infrastructure. Investments in transport infrastructure are assumed to have a positive impact on the competitiveness of regions. The question is whether this assumption is true and how it can be measured.This article starts discussing the concept of spatial competitiveness and the way it can be measured using indicators. Improving the accessibility of a region by means of investments is often seen as a precondition to improve the competitiveness of a region. We therefore describe both the transport system and the use of accessibility as one of the supporting indicators. Finally, we consider the link between investments in the transport system and competitiveness.We conclude that competitiveness is a vague term that is hard to operationalise and to measure. It is often used as a marketing concept for regions. Comparison of regions is the goal of using the concept. In that sense, attention must be paid to use the right indicators. Accessibility is one of these indicators. Accessibility can be linked to improvements in transport infrastructure. There is evidence that transport infrastructure investments improve accessibility of regions and cities, but how this affects competitiveness remains unclear. Attempts have been made to quantify the wider economic impacts, which also needs to be included when considering competitiveness. Research into indicators that support competitiveness is therefore recommended.