Road maintenance and local economic development: Evidence from Indonesia's highways

被引:0
|
作者
Gertler, Paul J. [1 ,2 ]
Gonzalez-Navarro, Marco [3 ]
Gracner, Tadeja [4 ]
Rothenberg, Alexander D. [5 ]
机构
[1] Univ Calif Berkeley, Haas Sch Business, MC 1900, Berkeley, CA 94720 USA
[2] NBER, MC 1900, Berkeley, CA 94720 USA
[3] Univ Calif Berkeley, Agr & Resource Econ, MC 3310, Berkeley, CA 94720 USA
[4] Univ Southern Calif, 635 Downey Way, Los Angeles, CA 90089 USA
[5] Syracuse Univ, Dept Econ, 426 Eggers hall, Syracuse, NY 13244 USA
关键词
Transport infrastructure; Road maintenance; Economic development; RURAL ROADS; REGIONAL-DEVELOPMENT; TRANSPORT COSTS; URBAN-GROWTH; IMPACT; PRODUCTIVITY; GOVERNMENT; DEMAND; TRADE; DECENTRALIZATION;
D O I
10.1016/j.jue.2024.103687
中图分类号
F [经济];
学科分类号
02 ;
摘要
This paper estimates the local welfare impacts of highway maintenance investments. We instrument road quality exploiting Indonesia's two-step budgeting process for allocating funding to local road authorities. Using comprehensive data on road quality from 1990-2007, we find evidence that better roads help manufacturers create new jobs, enabling worker transitions out of informal employment, and increasing labor income. Road quality also changes the cost of living, reducing perishable food prices but also raising housing prices. We estimate the elasticity of household welfare with respect to road quality to be 0.1 and the benefit/cost ratio for road maintenance investments to be 2.3.
引用
收藏
页数:18
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