This session examines modeling perspectives associated with agglomeration as an important aspect of economic development. The session focusses on papers discussing different scales from cross-border linkages to interregional and intraurban settings.
High-Speed Rail and Manufacturing Agglomeration: Evidence from Beijing-Guangzhou High-Speed Rail in China
Bowen Sun, Institute for the Development of Central ChinaShow Abstract
Haitao Yu, University of Florida
Zhongren Peng, University of Florida
Ya Gao, Shanghai Jiao Tong University
In China the roles played by high speed rail(HSR) in improving regional accessibility and promoting urban growth have produced great research interests recently. However, the question as to how HSR could shape urban development seems rather complex. In this paper, we aim to discuss its role in shaping urban economic development by tracing links from HSR to manufacturing agglomeration with panel data of Beijing-Guangzhou HSR network in China, from 2000 through 2015. Based on the new economic geography model, we incorporate market potential and manufacturing wage into the analysis framework, and use treatment effect model to account for the endogeneity of HSR in the study. Model results show that: (1) In general, HSR significantly increases manufacturing agglomeration for HSR cities; (2) We confirm that there is an Inverted-U relationship between agglomeration impact of HSR and market potential. That is, while agglomeration effect by HSR is significant within a threshold level of market potential, HSR in fact has negative effect, or the dispersion effect, on manufacturing agglomeration beyond the threshold level. (3) The agglomeration impact of HSR differs across regions. For example, agglomeration impact of HSR is more significant in the second-tier HSR cities compared to major HSR cities, indicating the overall trend of regionalization and economic convergence among different regions of HSR through time. Results from this study are useful for policy makers as well as researchers to analyze the economic implications of high-speed rail in future.
Measuring the Impact of the Trans-European Road Transport Network on Accessibility of European Urban Agglomerations
Juan Nicolas Ibanez, European CommissionShow Abstract
Francesco Rotoli, European Commission
Transport infrastructure investments aim in general at the reduction of travel times and costs and at the associated positive effects on the competitiveness and growth of the cities and regions covered by these investments. This is indeed the main goal of one of the major European Union (EU) infrastructure policy packages, the Trans-European Transport Network (TEN-T) policy.
This article contributes to the evaluation of the benefits of TEN-T policy by considering the entire major road network and not only the TEN-T road network or single projects, and by employing a detailed and updated representation of the European road network (a commercial database provided by TomTom and used for navigation purposes by millions of European customers).
A routing algorithm has been developed for this exercise to efficiently exploit the dense road network available. Using different impedance functions in reaching out opportunities, the methodology compares two measures of accessibility for each major European urban agglomeration, a reference value with the completion of the TEN-T network as in 2014 and an scenario value corresponding to the full implementation of the TEN-T policy. Very importantly, the proposed methodology addresses the well-known issue of self-accessibility by considering a weighted average of the entire road network within each agglomeration.
The results show that the main beneficiaries of the completion of TEN-T are mainly Eastern European countries (yet in the process of convergence with the rest of the EU). The developed methodology and the detailed road network employed provide an accurate quantification of these effects.
Intraurban Accessibility and Employment Density
Michael Iacono, Minnesota Department of TransportationShow Abstract
David Levinson, University of Sydney
This study investigates the relationship between urban accessibility and firm agglomeration, as reflected in patterns of urban employment densities. We use measures of accessibility derived from the regional highway network, combined with small-scale (Census block-level) data on employment from the Longitudinal Employer-Household Dynamics (LEHD) data set to generate proxies for different sources of agglomeration, specifically urbanization and localization economies. These variables are employed in a set of employment density regressions for 20 two-digit NAICS code sectors to identify the propensity of each sector to agglomerate in response to varying levels of accessibility. The density regressions are applied to sample data from the Minneapolis-St. Paul, Minnesota (Twin Cities) metropolitan region for the years 2000 and 2010.
We find that in general urbanization effects tend to
overshadow those of localization effects. Moreover, these effects tend to vary
by sector, with many service-based sectors showing a stronger propensity to