Project Number:
07-02
Research Project:
Inter-county Spillovers and Ports and Roads Infrastructure Investment
P.I. Name & Address:
Kristen Monaco
Department of Economics
California State University Long Beach
1250 Bellflower Blvd.
Long Beach, CA 90840
Email: monaco@csulb.edu
Website: http://www.csulb.edu/~kmonaco/
Phone 562-985-5076
Fax 562-985-5804
Project Objective:
U.S. ports serve a vital role in the nations’ supply chain and international trade. While the areas surrounding these ports bear the external costs of port expansion (congestion, air pollution, noise pollution) the benefits from port activity are felt by other regions that do not bear these costs. The purpose of this study is to assess the role that transportation infrastructure plays in production and employment in the manufacturing, wholesale trade, and retail trade industries. Using county-level data for California from 1998-2005, we will model production and cost for three industries - manufacturing, wholesale trade, and retail trade - incorporating local investment in port and roads infrastructure as variables in the model. We incorporate spatial autocorrelation, which will allow us to quantify the extent to which counties benefit from port and highway investment in neighboring counties. We will also be able to quantify the complementarity between road and ports infrastructure. This will allow us to test whether gains in productivity can be derived from increasing one aspect of transportation infrastructure (eg. ports) while holding investment in another (eg. roads) constant.
Task Descriptions:
Months 1-2: compile data sets and run preliminary model for manufacturing sector.
Months 3-5: finalize model for manufacturing sector and estimate model for retail and
wholesale trade.
Month 6-7: write-up results and draft final report. Prepare and circulate manuscripts for
journal submissions.
Milestones/Dates:
September 1, 2006 – August 31, 2007
Total Budget:
$82,234
Student Involvement:
One Student @ 50% effort, 12 months
Relationship to Other Research Projects:
Related to 03-06, 06-10; part of infrastructure focus area
Technology Transfer Activities:
Project report posted on the website
Potential Benefits of the Project:
Enhanced efficiency of infrastructure investment
TRB Keywords:
Infrastructure investment
Primary Subject:
4b.4 Human and natural environment
Goals:
4c.2 Mobility
Enabling Research:
4c.11 Tools for modeling and design
Modal Orientation:
4c.13 Highway
