TY - JOUR
T1 - An application of an integrated transport network - multiregional CGE model to the calibration of synergy effects of highway investments
AU - Kim, Euijune
AU - Hewings, Geoffrey J.D.
N1 - Funding Information:
The first version of paper was presented at the 42nd Southern Regional Science Association in Louisville, KY, 10–12 April, 2003. The work is supported by the Korea Research Foundation Grant (KRF-2005-079-BS0157).
PY - 2009/12
Y1 - 2009/12
N2 - A transportation network-multiregional CGE model is applied to estimate the synergy effects of a set of highway projects on value added by region and industrial sector. This synergy effect is defined as a difference between the summation of the net GDP increase from the development of each highway sub-link without spatial linkage and the change in GDP resulting from the concurrent development of all links with spatial linkages. Among nine east-west highways in Korea, the East-West 9 highway increases the GDP by 0.3% over the 30-year time period horizon, with 0.016% of the GDP due to the synergy effect. The East-West 9 highway has the largest synergy effect of US$0.164 billion per year on the manufacturing sector of Kwangju Metropolitan Area, resulting in a gain in a regional GRP per capita of US$15.88 per year. Since most synergy effects are generated in less developed regions, highway development can contribute to the reduction in regional disparities.
AB - A transportation network-multiregional CGE model is applied to estimate the synergy effects of a set of highway projects on value added by region and industrial sector. This synergy effect is defined as a difference between the summation of the net GDP increase from the development of each highway sub-link without spatial linkage and the change in GDP resulting from the concurrent development of all links with spatial linkages. Among nine east-west highways in Korea, the East-West 9 highway increases the GDP by 0.3% over the 30-year time period horizon, with 0.016% of the GDP due to the synergy effect. The East-West 9 highway has the largest synergy effect of US$0.164 billion per year on the manufacturing sector of Kwangju Metropolitan Area, resulting in a gain in a regional GRP per capita of US$15.88 per year. Since most synergy effects are generated in less developed regions, highway development can contribute to the reduction in regional disparities.
KW - Computable general equilibrium model
KW - Regional social accounting matrix
KW - Synergy effect
KW - Transportation investment
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U2 - 10.1080/09535310903444758
DO - 10.1080/09535310903444758
M3 - Article
AN - SCOPUS:77954830732
SN - 0953-5314
VL - 21
SP - 377
EP - 397
JO - Economic Systems Research
JF - Economic Systems Research
IS - 4
ER -