Does investment in surface transport cause economic growth? A quantitative study

Investimentos em transportes terrestres causam crescimento econômico? Um estudo quantitativo

Economic growth has been extensively studied in the literature since last century. Seminal papers of Achauer (1989a-d) investigated the relation between economic growth and government expenditure. In the same way and using the works of Balvir and Balbir (1984) and Granger Causality test (1980), the authors aim at identifying a relationship from investments in transportation infrastructure to GDP (gross domestic product) and vice-versa in the period 1950-2004 in Brazil. As a result, they confirm the hypothesis that investments in road infrastructure imply increasing the GDP and vice-versa, but railroad investments do not have effects on the economy. The results indicate that investments in road infrastructure imply faster returns in growth in GDP than railroad investments.

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    • Abstract used with permission of the Brazilian Transportation Planning Society (BTPS)
  • Authors:
    • da Silva, Francisco Gildemir Ferreira
    • Martins, Francisco Giusepe Donato
    • Rocha, Carlos Henrique
    • Araújo, Carlos Eduardo Freire
  • Publication Date: 2013-4


  • English
  • Portuguese

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  • Accession Number: 01492580
  • Record Type: Publication
  • Files: TRIS
  • Created Date: Sep 10 2013 9:46AM