Transport Infrastructure Investment Research Articles

THE MEDIATION EFFECTS OF FDI ON TRANSPORTATION INFRASTRUCTURE AND ECONOMIC GROWTH IN LAO PEOPLE’S DEMOCRATIC REPUBLIC

This paper aims to study the mediation effects of Foreign direct investment (FDI) on the relationship between transportation infrastructure and economic growth in Lao people’s Democratic Republic (Lao PDR) by using Sobel test. This study is quantitative research using panel data from 2013 to 2022. The regression results conclude that there is a positive relationship between transportation infrastructure and FDI by p-value=0.01. In addition, there is a positive relationship between FDI and Economic growth by significance at 0.05. Result demonstrates that there is direct effect and indirect effect between transportation infrastructure and Economic growth and Sobel test found that FDI was a partial mediator of the relationship between transportation infrastructure and Economic growth as well. In summary, transportation infrastructure enhances the attractiveness and efficiency of a region, drawing in FDI. The resultant FDI brings in capital, technology, and expertise, stimulating economic activities and contributing to overall economic growth. This mediating role of FDI underscores the interconnectedness of transportation infrastructure development, investment attraction, and economic growth.

Navigating the challenges of public transport and urban mobility in Thohoyandou, South Africa

Background: Transport systems are an essential feature of functional urban settlements. Yet, almost all of South Africa’s secondary cities and small towns lack a true public transportation system. Because of this, quasi-public, privately operated mini-bus taxis are the main form of transport for most urban residents. Thohoyandou, Limpopo, a town of over 70 000 people, is a typical South African town in this regard.Objectives: The purpose of this research was to understand passenger experiences of mini-bus taxis in Thohoyandou, Limpopo province, South Africa.Method: This study used semi-structured interviews to explore the mobility challenges faced by the residents of Thohoyandou.Results: This study revealed several negative aspects impacting passenger experiences. Passengers consistently reported concerns regarding driver’s behaviour that compromised safety and security. This included overloading of vehicles and disregard for traffic regulations. Passengers also highlighted the challenges posed by poor transport infrastructure and a lack of reliable service. Collectively, these factors contribute to limited mobility options, increased transportation costs and a reduced quality of life. Furthermore, the shortcomings of mini-bus taxi services disproportionately affect people with disability, who already face significant societal barriers, further marginalising them within the transportation system.Conclusion: The government should increase investment in transport infrastructure, the enforcement of traffic laws and better driver training. However, a strong government combined with much political will is required if passengers and safety are to be the main priorities of the mini-bus taxi industry.Contribution: This study highlights challenges faced by public transport users in Thohoyandou, where mini-bus taxis serve as the main mode of transport. The challenges experienced by transport users not only reduce their mobility but also contribute to marginalisation of vulnerable groups, especially people with disability.

A study on the impact of high-speed rail on the consumption structure of urban and rural residents in China.

Consumption is crucial to individual well-being and national economic development. This study investigates whether high-speed rail (HSR) influences consumption expenditure (CE) and consumption structure (CS) of urban and rural Chinese citizens. Using panel data from 2003 to 2019 and econometric models, this study finds that: (1) HSR significantly increases CE for both urban and rural residents, promotes CS upgrades in rural areas, but inhibits CS upgrades in urban areas. These results remain robust after extensive testing. (2) HSR's impact on urban consumption is relatively focused and singular, whereas its effect on rural consumption is dispersed and extensive. Additionally, the impact of HSR on consumption exhibited significant delays and regional characteristics. (3) Mediation analysis reveals that HSR significantly enhances urban and rural CE and facilitates rural CS upgrades through market, price, and income effects. However, it also triggers housing price increases, impeding urban CS upgrades. This study provides important references for the government to optimize transportation infrastructure investments, promote balanced economic development between urban and rural areas, and enhance residents' well-being.

Enhancing regional well-being: An assessment of how infrastructure investments affect gross territorial product

The role of infrastructure in promoting regional well-being has gained significant attention. Infrastructure is critical in integrating the regional economy, multiplying economic development, and improving quality of life. Effective decision-making is crucial to maximize the return on these capital investments. This study assesses infrastructure investments’ short-term and long-term impacts. Short-term efficiency is evaluated through the multiplier effect on other sectors, while long-term efficiency focuses on the influence on economic growth. A polynomial model is constructed using regression analysis based on investments in highway construction projects and the corresponding dynamics of gross territorial product in surrounding areas. This model explains the nature of the multiplier impact of transport infrastructure investments. This study significantly contributes to understanding how infrastructure investments can be strategically targeted to enhance economic growth and regional well-being, providing valuable insights for researchers, policymakers, and professionals in economics, urban planning, and infrastructure development.

The relationship between transport infrastructure and output growth in rural nodal municipalities within South Africa

Transport infrastructure is an integral part of economic and social development in many countries, including South Africa. Economic growth theories state that a sound transport system enhances accessibility and output. Despite this, rural areas in South Africa face widespread poverty, poor infrastructure and limited access to essential services. This paper aims to examine the impact of transportation infrastructure investment on the output growth of rural nodal district municipalities in South Africa. This study focuses on two main objectives 1) investigating the relationship between transport infrastructure investment and output growth in rural nodal district municipalities and 2) understanding the causal relationship between transportation infrastructure investment and output growth in rural nodal district municipalities—this analysis uses panel data from 2012 to 2019. We used Fisher type (ADF and PP) panel unit root tests (Maddala & Wu,1999) to determine if the variables were stationary. Additionally, we employed Pedroni tests (1999) to ascertain the presence of cointegration among the variables. Once cointegration was confirmed, our study utilised the Panel VECM. A Panel Granger was then conducted to analyse the direction of causality between transportation infrastructure investment and output growth. This study recommends that the government should improve investments in transportation to improve the output of rural nodal district municipalities.

Evaluation of railway noise calculation models using CNOSSOS-EU considering the effect of rail roughness

Railway noise assessment is an important tool in decision-making for urban planning, investment in transportation infrastructure and implementation of noise reduction strategies. Currently, the procedure is based on CNOSSOS-EU (Common Noise Assessment Methods in Europe), which was developed in accordance with European Directive 2002/49/EC. This method takes into account a variety of factors impacting rail noise levels, such as vehicle characteristics and track features. The purpose of this study was to investigate the influence of rail roughness on generated railway noise and to evaluate the accuracy of calculation models using CNOSSOS-EU. The study involved in-situ railway noise measurements at three different locations near the city of Zagreb, Croatia, and measuring rail roughness at each location. In order to eliminate the influence of other factors, the rail track structures at the measurement locations were similar, and an identical train configuration was used for the study. Finally, a comparison was made between calculation models based on default roughness values and models including values obtained from in-situ measurements. This approach enabled an assessment of the variations in CNOSSOS-EU calculation models taking into account actual in-situ rail roughness measurements.

Solving Transport Infrastructure Investment Project Selection and Scheduling Using Genetic Algorithms

The development of transport infrastructure is crucial for economic growth, social connectivity, and sustainable development. Many countries have historically underinvested in transport infrastructure, necessitating more efficient strategic planning in the implementation of transport infrastructure investment projects. This article addresses the selection and scheduling of transport infrastructure projects, specifically within the context of utilizing pre-allocated funds within a multi-annual budget investment program. The current decision-making process relies heavily on expert judgment and lacks quantitative decision support methods. We propose a genetic algorithm as a decision-support tool, framing the problem as an NP-hard 0–1 multiple knapsack problem. The proposed genetic algorithm (GA) is unique for its matrix-encoded chromosomes, specially designed genetic operators, and a customized repair operator to address the large number of invalid chromosomes generated during the GA computation. In computational experiments, the proposed GA is compared to an exact solution and proves to be efficient in terms of quality of obtained solutions and computational time, with an average computational time of 108 s and the quality of obtained solutions typically ranging between 85% and 95% of the optimal solution. These results highlight the potential of the proposed GA to enhance strategic decision-making in transport infrastructure development.

Possibilities of forming a territorial development zone "Vetluga - Sura". Some directions for the development of water tourism and infrastructure

The article proposes the creation of a territorial development zone "Vetluga-Sura" in the Volga Federal District, the purpose of which should be to increase the economic level of remote areas, improve the standard of living of the population, as well as increase the number of residents both along the banks of the Vetluga and Sura rivers and in the adjacent territories of the region. Within the framework of the territorial development zone, public investments in transport infrastructure are envisaged, including the creation of ship passages on the Vetluga and Sura rivers. In this regard, a wide range of investment projects aimed at the development of the tourism cluster, as well as industry, agriculture and other industries in the region are expected. A significant result of the implementation of the Vetluga-Sura territorial development zone may be the revival of passenger and freight traffic on small rivers in the region. The creation of the Vetluga-Sura territorial development zone is proposed as a pilot project to develop a model of territorial development based on the revival of small rivers and subsequent application in more than 20 other regions.

Contribution of road transport infrastructure in mitigating the inward–immiserizing growth in Cameroon: An externality approach in computable general equilibrium analysis

The issue of immiserizing growth has been largely discussed in the literature since 1958. It describes a country context contending with high volume of exports relatively to its imports on the international market that benefits from high economic growth but losses in households’ welfare. This study aims to investigate the contribution of transport infrastructure to tackle immiserizing growth in developing countries, focusing on the Cameroon economy, a contending with a significant lack in the development of road transport infrastructure. Further, the study enriches the debate on the wider economic impacts, closely related to immiserizing growth. The loss of welfare is observed upstream to the investigations, as a response to the application of two types of fiscal policies: the import tariff and the capital income tax. Through a dynamic Computable General Equilibrium (CGE) model, the effect of road transport infrastructure is explored, using the externalities approach. This is an innovative methodology recently applied to access the economic impacts of infrastructure investment making a difference between productive and non-productive infrastructure investments. The findings reveal that productive transport infrastructure not only reduces the wider economic impact by improving households’ welfare but also enhances economic growth. A 10 percent increase in road transport infrastructure investment funded by import tariff leads to a welfare improvement of 1.94% and 1.66% in both short and long terms compared to respective losses of 0.58% and 0.15% if the generated financial funds are allocated in non-productive infrastructure such as monuments, defense etc. The similar tendency is observed for the capital income tax funding. Thus, policymakers are recommended to accentuate the road construction, in order to shorten the complex interplay between public decisions and households’ living conditions.

Model of Sustainable Household Mobility in Multi-Modal Transportation Networks

Nowadays, urban and suburban areas face increasing environmental pressures, and encouraging sustainable transportation behaviors at the household level has become crucial. This paper presents a model of a decision support system (DSS) for promoting sustainable household mobility choices in multi-modal transport networks. The system was modeled using an enhanced Petri Net approach, allowing for the dynamic representation of complex transport networks and multi-modal journey options. The model incorporated various sustainability factors. These were combined into a single environmental impact score, which was considered alongside travel time and cost in the route optimization process. Simulation results demonstrated the DSS’s capability to guide users toward more sustainable mobility choices. The model also showed potential as a tool for policymakers to assess the impact of various sustainable transportation initiatives and infrastructure investments. This paper discussed the versatile applications of the system. It also addressed the limitations of Petri Net models in transportation systems and suggested future research directions.

The effect of economic downturn, financial hardship, unemployment, and relevant government responses on suicide.

Economic circumstances and related factors, including unemployment and poverty, can have substantial effects on suicide rates. This relationship applies in all countries, irrespective of their World Bank income status or level of development. Therefore, means of mitigating such influences are essential components of strategies to reduce suicides. In this Series paper, we consider examples of such initiatives, including national policies to try to reduce the effect of economic downturns, efforts to maintain employment and avoid damaging austerity measures, maintenance of reasonable minimum wage levels, and specific policies to assist those most affected by poverty. We also highlight upstream measures such as investment in transport infrastructure, industries, and retraining programmes. Positive public health messaging that encourages coping, together with discouragement of media stories with messages that could contribute to hopelessness in those experiencing economic difficulties, can also be important components of strategies to try to reduce the effect of economic downturn on suicide.

External costs of high-voltage overhead transmission lines: Evidence from a causal approach in rural France

In light of climatic change and global warming, electricity transmission networks need to be developed for the integration of renewable sources. In North America and Europe, to achieve renewable electricity goals, massive investments in electricity transport infrastructure are planned to connect solar and wind generation sites to the grid network. However, local opposition to new installations of high-voltage overhead transmission lines (HVOTLs) is causing delays and cost overruns. Visual nuisance is an important basis of local stakeholders' opposition to a new project. Estimations of the local economic impact of HVOTLs can help in identifying the external costs of the electricity supply industry to improve both efficiency in electricity pricing and fairness in defining provision for host community compensation. Prior research has provided evidence that existing HVOTLs have negative but not substantial effects on their immediate neighbourhoods. However, these studies have applied a correlational approach. This paper revisits the external effects of HVTOLs, exploring the case of a 225 kV line connecting two medium-size cities (Saint-Privat-d'Allier to Saint-Etienne) in France. We take advantage of the public disclosure in 2009 of undergrounding 8 km out of a total of 87 km lines as a result of a network upgrade project, to develop a difference-in-difference specification of a hedonic regression model, by comparing house sale prices at different distances from existing pylons, before and after the announcement of the decision to upgrade the line. We show that undergrounding was accompanied by an increase of about 38% in the price of treated houses located within 200 m of old pylons. The implied environmental costs of proximity to high-voltage pylons are substantial and their reduction is internalized into house prices as soon as the decision to go underground is announced.

An Analysis of the Health Effects of Physical Activity due to Active Travel Policies in Rennes, France.

Rennes, a midsize city in France, features many opportunities for active travel. City officials seek to increase walking and cycling by 2030 to improve public health. Physical inactivity, a leading risk factor for premature mortality around the globe, has been shown to be associated with many chronic diseases including heart disease, type 2 diabetes, and cancer. Using the 2018 household travel survey of Rennes residents, we apply the Health-Oriented Transportation statistical model to assess health impacts associated with population-level rates of walking and cycling. We consider two proposed mobility and climate objectives which outline sustainable transportation goals by 2030. These include a shift in transportation mode share to increase walking and cycling trips, as well as a broad reduction in vehicle miles traveled (VMT) across the metropolitan area. Our regression analysis demonstrated that factors of household car access and inner-city residency were predictors of prevalence (observed one-day proportion engaging in walking or cycling), participation (weekly proportion), and intensity (mean individual physical activity achieved through walking/cycling) of active travel. Age and education were additionally associated with prevalence. The 2030 mobility objective (mode share: 9% cycle, 35% walk) was associated with a reduction of 1,051 DALYs (disability-adjusted life-years), translating to $73 million USD ($23-$177) in averted costs. The climate objective (10% reduction in VMT) was associated with a reduction of 369 DALYs when replaced entirely by walking and 714 DALYs with cycling, translating to $26 million ($8-$62) and $50 million ($15-$121) saved, respectively. Rennes residents experience high participation in active travel, particularly those in the inner city. If residents achieve the city's active travel goals for 2030, there is potential for a large reduction in health burden and subsequent costs. Reaching these goals may require significant investment in transportation programming and infrastructure to improve active travel opportunities.

The spatial impacts of a massive rail disinvestment program: The Beeching Axe

This paper investigates the reversibility of the effects of transport infrastructure investments, based on a programme that removed much of the rail network in Britain during the mid-20th century. We find that a 10% loss in rail access between 1950 and 1980 caused a persistent 3% decline in local population relative to unaffected areas, implying that the 1 in 5 places most exposed to the cuts saw 24 percentage points less population growth than the 1 in 5 places that were least exposed. The cuts reduced local jobs and shares of skilled workers and young people.

Transport infrastructure in ensuring regional development and China's global competitiveness

Purpose: is to evaluate the modern role of transport infrastructure as the factor in the development of the regional economy and strengthening competitive positions outside the country using the example of China.Methods: the correlation-regression analysis, traditionally used to solve the task of the identifying influencing factors, was applied to the economic and transportation indicators across 28 Chinese regions for the year 2021. It was supplemented by the analysis of statistical data and the thematic case study of data on Chinese investments into the transport infrastructure projects both domestically, and abroad.Results: the assessment of infrastructure development of the railway and port infrastructure was carried out based on the analysis of the dynamics of the main indicators. The construction of a correlation and regression analysis model made it possible to form an idea of the impact of China's transport infrastructure on the gross regional product of the provinces. The degree of penetration of Chinese influence into other economies of the world through investments in transport infrastructure has been assessed. The tools for promoting infrastructure projects have been identified that characterize Chinese specifics and make it possible to ensure the country's competitiveness at the global level.Conclusions and Relevance: China is the striking example of the widespread construction of ports, railways, and highways, in addition to the creation of direct freight vehicles and dry cargo ships for the distribution of their products. The high importance of transport infrastructure and the number of employed people in this industry for the growth of the regional product of the provinces of China has been revealed. In the external circuit, the PRC is actively using the strategy of lending to other countries for the construction of infrastructure on their territories. The construction of roads, airports, seaports, power plants and transmission lines allow China to create infrastructure enclaves in developing countries to market its goods and export raw materials for subsequent processing. Borrowing the experience of the PRC in terms of mechanisms for granting grants and loans for the implementation of infrastructure projects will allow Russia to create an extensive system of movement of national goods to markets where they are most in demand in the territories of neighboring states.

Accessibility improvement and interregional trade flows

AbstractAccessibility improvement has been regarded as one of the main regional policy goals in the recent decades. As a result, many countries has undertaken complex transport infrastructure investment programmes worth billions of dollars. The best examples of such investment can be China or, in the European context, Spain and more recently Poland. There have been published many analyses focusing on output and employment effects of transport infrastructure investment projects. Yet, there hardly exist any studies that verify their potential influence on interregional trade flows. This paper fills the existing gap in the literature by assessing the impact of accessibility improvement on the volume and the value of interregional trade flows in Poland between 2005 and 2015. We find that there is no statistically significant relationship between travel time reduction and interregional trade. This may explain largely the surprising lack of positive relationship between accessibility improvement and regional GDP growth, reported in previous papers.

PATHWAYS TO PROSPERITY AND SUSTAINABILITY: ASSESSING THE EFFECTS OF TRANSPORT INFRASTRUCTURE INVESTMENTS ON ECONOMIC GROWTH AND GHG EMISSIONS IN AZERBAIJAN IN THE CONTEXT OF COP 29

Ahead of Azerbaijan's hosting of COP 29, this paper examines the impacts of transport infrastructure investments in Azerbaijan on economic growth and greenhouse gas (GHG) emissions. In this study, using the data of the official reports of the Statistical Committee of the Republic of Azerbaijan and the World Bank, the Ordinary Least Squares (OLS) regression analysis tool was used to reveal the potential impact of investments in transportation infrastructure. The main essence of this study is to examine the strategic investment projects aimed at modernizing the transportation networks of Azerbaijan and its ambitious effects. The nation's vision is not limited to infrastructural development, but also strives to achieve sustainable progress by establishing itself as a global leader in promoting environmentally conscious activities. Through political certainty and international cooperation, Azerbaijan is trying to show itself as a leader in promoting sustainable development in the context of 29th Conference of the Parties (COP 29). The research aims to examine how the planned development of transport infrastructure drives economic progress with a focus on climate impacts. This article revealed the significant role of investments in transport infrastructure in fostering economic growth in Azerbaijan, particularly through positive effects on the non-oil GDP growth rate. However, it found that these investments did not lead to substantial reductions in GHG emissions, indicating a lack of corresponding environmental benefits. This underscores the complex interplay between infrastructure development and environmental sustainability, highlighting the necessity for a balanced approach in policy implementation.

Subsidizing residents or companies? An equilibrium-based analysis of subsidy strategies for EV charging facilities

This study examines the charging location choice behavior of residents in relation to employer-provided charging facilities and investigates the impact of different government subsidy strategies for charging facility construction on urban spatial structure and traffic-related air pollution. Using a monocentric two-zone city model, we analyze the residential distribution and travel mode choice of urban residents under various subsidy strategies from the perspective of social planners. The government can optimize urban resource allocation through transport infrastructure investments and implementation of emission taxes to maximize the so-called residents’ utility. We observe that despite the distorting effect of employer-provided charging facilities on travel mode choice, residents still experience an enhanced utility due to the positive environmental impact resulting from reduced pollution levels associated with electric vehicles (EVs) compared to gasoline vehicles (GVs). We provide numerical evidence to show that government subsidies, whether directed towards companies or residents, can effectively enhance the adoption of EVs and improve utility. In low-density cities, it is advisable for the government to encourage and subsidize residents in building charging facilities. Conversely, in high-density cities, prioritizing subsidies for companies would be more beneficial in improving utility and expanding the coverage of charging facilities. Furthermore, in cities where resident environmental awareness is relatively low, it is recommended that the government increase subsidies to promote EV adoption.

Research on the Construction of a Risk Assessment Indicator System for Transportation Infrastructure Investment under Public–Private Partnership Model

This paper is dedicated to developing a risk assessment indicator system applicable to transportation infrastructure investment projects in the public–private partnership (PPP) model. Initially, through practical research, literature reviews, and expert interviews, key risk factors for transportation infrastructure investment projects in the PPP mode were identified. Based on these risk factors, a preliminary risk assessment indicator system was established. Subsequently, the principal component analysis (PCA) was used to reduce the dimensions of the indicators, simplify the structure of the system, and highlight key risk factors. Simultaneously, the CRITIC-EWM method was applied to calculate the weights of the indicators. Furthermore, to validate the effectiveness of the indicator system, a questionnaire survey was conducted, collecting 314 responses. Structural equation modeling was applied to validate the effectiveness of the indicator system and examine its application value in practical risk management processes. The primary contribution of this study lies in proposing a method for constructing a risk assessment indicator system that combines quantitative and qualitative analyses, providing new theoretical and practical guidance for risk management of transportation infrastructure investment projects under the PPP mode.

Driving Economic Growth through Transportation Infrastructure: An In-Depth Spatial Econometric Analysis

This research investigates the crucial role of transportation infrastructure in influencing economic activity, thus employing advanced econometric methods including Moran’s I index, LM, Hausman, and LR tests to ensure analytical accuracy and select the appropriate spatial model. Our findings reveal that freight volumes across road, waterway, and civil aviation significantly enhance economic activity by bolstering domestic trade, industrial production, and supply chains. Conversely, the impact of passenger turnover is comparatively minor, although it still contributes to labor mobility and urban accessibility. This study highlights the need for strategic investment in transportation infrastructure and efficient public transport systems to foster economic growth and sustainable development. We recommend that policymakers focus on optimizing transportation networks and integrating intelligent transport technologies to boost economic competitiveness and societal well-being. This analysis not only sheds light on the direct economic impacts of transportation but also underscores the broader social implications, thus advocating for a holistic approach to transportation planning and policymaking.