Cart or Horse: Transport and Economic Growth
Tim Leunig ()
No 2011/4, International Transport Forum Discussion Papers from OECD Publishing
This paper argues that transport is more cart than horse, in that transport improvements are not the most important driver of economic growth for most countries. Nevertheless there are circumstances in which transport is particularly important. Big transport breakthroughs – such as replacing walking with railways, or creating a highways network for the first time – do have big effects, but these are unlikely to be seen again in developed economies. Instead transport in developed economies is best seen as having a supporting role. If it is neglected, it can constrain growth, as congestion and unreliable transport systems can exact a heavy price. But as long as the transport system is “good enough”, the returns to greater transport investment will be relatively limited.
New Economics Papers: this item is included in nep-ene and nep-ure
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed
Downloads: (external link)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:oec:itfaab:2011/4-en
Access Statistics for this paper
More papers in International Transport Forum Discussion Papers from OECD Publishing Contact information at EDIRC.
Bibliographic data for series maintained by ( this e-mail address is bad, please contact ).