Valuing Domestic Transport Infrastructure: A View from the Route Choice of Exporters
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Abstract A key input to quantitative evaluations of transport infrastructure projects is their impact on transport costs. We propose a new method of estimating this impact relying on widely accessible customs data: by using the route choice of exporters. We combine our method with a spatial equilibrium model to study the effects of the massive expressway construction in China between 1999 and 2010. We find transport costs are 20% lower on expressways than on regular roads. The expressways construction increases aggregate exports by 10% and domestic trade by 14%. It generates 5.1% welfare gains, implying a 150% net return to investment.
2014 ◽
Vol 46
(7)
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pp. 1652-1665
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2005 ◽
Vol 50
(2)
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pp. 767-790
2004 ◽
Vol 49
(2)
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pp. 477-496
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2014 ◽
Vol 2
(2)
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pp. 14-38
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2017 ◽
Vol 46
(5)
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pp. 805-825
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1979 ◽
Vol 11
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pp. 23-34
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1985 ◽
Vol 13
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pp. 265-287
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2005 ◽
Vol 7
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pp. 297-308
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