Highways and Globalization

Taylor Jaworski, Carl Kitchens and Sergey Nigai

No 27938, NBER Working Papers from National Bureau of Economic Research, Inc

Abstract: This paper quantifies the value of US highways. We develop a multisector general equilibrium model with many locations in the United States (i.e., counties) and many countries. In the model, producers choose shipping routes subject to domestic and international trade costs, endogenous congestion, and port efficiency at international transshipment points. Applying the model, we find that removing the Interstate Highway System reduces real GDP by $421-$578 billion. The results highlight the gains from intersectoral and international trade as well as the role of domestic transportation infrastructure in shaping regional comparative advantage.

JEL-codes: F11 F14 H54 R13 R42 (search for similar items in EconPapers)
Date: 2020-10
New Economics Papers: this item is included in nep-geo, nep-int and nep-tre
Note: DAE ITI
References: Add references at CitEc
Citations: View citations in EconPapers (5)

Published as Taylor Jaworski & Carl Kitchens & Sergey Nigai, 2023. "HIGHWAYS AND GLOBALIZATION," International Economic Review, vol 64(4), pages 1615-1648.

Downloads: (external link)
http://www.nber.org/papers/w27938.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:nbr:nberwo:27938

Ordering information: This working paper can be ordered from
http://www.nber.org/papers/w27938

Access Statistics for this paper

More papers in NBER Working Papers from National Bureau of Economic Research, Inc National Bureau of Economic Research, 1050 Massachusetts Avenue Cambridge, MA 02138, U.S.A.. Contact information at EDIRC.
Bibliographic data for series maintained by ().