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Time is Money: Measuring Transport Infrastructures from the New Economic Geography Perspective

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Document pages: 25 pages

Abstract: The new economic geography depicts spatial location as the key factor determining the growth performance of an economy and thus provides one of the most suitable frameworks to the study of transport infrastructures. The purpose of this paper is to exploit some of the analytical tools familiar to that literature, i.e. the market potential indicator, in order obtain local measures of transport infrastructure performances. These are computed by substituting distances with travel times in the calculation of the size of markets accessible from a given location. As a case study, measures of roads and railways infrastructures for Italian provinces are derived, highligting some noticeable advantages of the proposed method with respect to other common ways of measuring local infrastructure endowments.

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