Infrastructure and trade: A meta-analysis

Mehmet Guney Celbis, Peter Nijkamp, Jacques Poot

Research output: Contribution to JournalArticleAcademicpeer-review

Abstract

Low levels of infrastructure quality and quantity can create trade impediments through increased transport costs. Since the late 1990s, an increasing number of trade studies have taken infrastructure into account. The purpose of the present paper is to quantify the importance of infrastructure for trade by means of meta-analysis and meta-regression techniques that synthesize various studies. The type of infrastructure that we focus on is mainly public infrastructure in transportation and communication. We examine the impact of infrastructure on trade by means of estimates obtained from 36 primary studies that yielded 542 infrastructure elasticities of trade. We explicitly take into account that infrastructure can be measured in various ways and that its impact depends on the location of the infrastructure. We estimate several meta-regression models that control for observed heterogeneity in terms of variation across different methodologies, infrastructure types, geographical areas and their economic features, model specifications, and publication characteristics. Additionally, random effects account for between-study unspecified heterogeneity, while publication bias is explicitly addressed by means of the Hedges model. After controlling for these issues, we find that a 1 percent increase in own infrastructure increases exports by about 0.6 percent and imports by about 0.3 percent. Such elasticities are generally larger for developing countries, land infrastructure, IV or panel data estimation, and macro-level analyses. They also depend on the inclusion or exclusion of various common covariates in trade regressions.

Original languageEnglish
Pages (from-to)25-65
Number of pages41
JournalRegion
Volume1
Issue number1
Publication statusPublished - 8 May 2014

Fingerprint

meta-analysis
infrastructure
regression
elasticity
Meta-analysis
panel data
macro level
import
exclusion
developing world
inclusion
developing country
communication

Keywords

  • Communication
  • Infrastructure
  • Meta-Analysis
  • Public Capital
  • Trade
  • Transportation

Cite this

Celbis, M. G., Nijkamp, P., & Poot, J. (2014). Infrastructure and trade: A meta-analysis. Region, 1(1), 25-65.
Celbis, Mehmet Guney ; Nijkamp, Peter ; Poot, Jacques. / Infrastructure and trade : A meta-analysis. In: Region. 2014 ; Vol. 1, No. 1. pp. 25-65.
@article{5c3d853ba5e34ed0af8a1565d9d7ead2,
title = "Infrastructure and trade: A meta-analysis",
abstract = "Low levels of infrastructure quality and quantity can create trade impediments through increased transport costs. Since the late 1990s, an increasing number of trade studies have taken infrastructure into account. The purpose of the present paper is to quantify the importance of infrastructure for trade by means of meta-analysis and meta-regression techniques that synthesize various studies. The type of infrastructure that we focus on is mainly public infrastructure in transportation and communication. We examine the impact of infrastructure on trade by means of estimates obtained from 36 primary studies that yielded 542 infrastructure elasticities of trade. We explicitly take into account that infrastructure can be measured in various ways and that its impact depends on the location of the infrastructure. We estimate several meta-regression models that control for observed heterogeneity in terms of variation across different methodologies, infrastructure types, geographical areas and their economic features, model specifications, and publication characteristics. Additionally, random effects account for between-study unspecified heterogeneity, while publication bias is explicitly addressed by means of the Hedges model. After controlling for these issues, we find that a 1 percent increase in own infrastructure increases exports by about 0.6 percent and imports by about 0.3 percent. Such elasticities are generally larger for developing countries, land infrastructure, IV or panel data estimation, and macro-level analyses. They also depend on the inclusion or exclusion of various common covariates in trade regressions.",
keywords = "Communication, Infrastructure, Meta-Analysis, Public Capital, Trade, Transportation",
author = "Celbis, {Mehmet Guney} and Peter Nijkamp and Jacques Poot",
year = "2014",
month = "5",
day = "8",
language = "English",
volume = "1",
pages = "25--65",
journal = "Region",
issn = "2409-5370",
publisher = "European Regional Science Association",
number = "1",

}

Celbis, MG, Nijkamp, P & Poot, J 2014, 'Infrastructure and trade: A meta-analysis' Region, vol. 1, no. 1, pp. 25-65.

Infrastructure and trade : A meta-analysis. / Celbis, Mehmet Guney; Nijkamp, Peter; Poot, Jacques.

In: Region, Vol. 1, No. 1, 08.05.2014, p. 25-65.

Research output: Contribution to JournalArticleAcademicpeer-review

TY - JOUR

T1 - Infrastructure and trade

T2 - A meta-analysis

AU - Celbis, Mehmet Guney

AU - Nijkamp, Peter

AU - Poot, Jacques

PY - 2014/5/8

Y1 - 2014/5/8

N2 - Low levels of infrastructure quality and quantity can create trade impediments through increased transport costs. Since the late 1990s, an increasing number of trade studies have taken infrastructure into account. The purpose of the present paper is to quantify the importance of infrastructure for trade by means of meta-analysis and meta-regression techniques that synthesize various studies. The type of infrastructure that we focus on is mainly public infrastructure in transportation and communication. We examine the impact of infrastructure on trade by means of estimates obtained from 36 primary studies that yielded 542 infrastructure elasticities of trade. We explicitly take into account that infrastructure can be measured in various ways and that its impact depends on the location of the infrastructure. We estimate several meta-regression models that control for observed heterogeneity in terms of variation across different methodologies, infrastructure types, geographical areas and their economic features, model specifications, and publication characteristics. Additionally, random effects account for between-study unspecified heterogeneity, while publication bias is explicitly addressed by means of the Hedges model. After controlling for these issues, we find that a 1 percent increase in own infrastructure increases exports by about 0.6 percent and imports by about 0.3 percent. Such elasticities are generally larger for developing countries, land infrastructure, IV or panel data estimation, and macro-level analyses. They also depend on the inclusion or exclusion of various common covariates in trade regressions.

AB - Low levels of infrastructure quality and quantity can create trade impediments through increased transport costs. Since the late 1990s, an increasing number of trade studies have taken infrastructure into account. The purpose of the present paper is to quantify the importance of infrastructure for trade by means of meta-analysis and meta-regression techniques that synthesize various studies. The type of infrastructure that we focus on is mainly public infrastructure in transportation and communication. We examine the impact of infrastructure on trade by means of estimates obtained from 36 primary studies that yielded 542 infrastructure elasticities of trade. We explicitly take into account that infrastructure can be measured in various ways and that its impact depends on the location of the infrastructure. We estimate several meta-regression models that control for observed heterogeneity in terms of variation across different methodologies, infrastructure types, geographical areas and their economic features, model specifications, and publication characteristics. Additionally, random effects account for between-study unspecified heterogeneity, while publication bias is explicitly addressed by means of the Hedges model. After controlling for these issues, we find that a 1 percent increase in own infrastructure increases exports by about 0.6 percent and imports by about 0.3 percent. Such elasticities are generally larger for developing countries, land infrastructure, IV or panel data estimation, and macro-level analyses. They also depend on the inclusion or exclusion of various common covariates in trade regressions.

KW - Communication

KW - Infrastructure

KW - Meta-Analysis

KW - Public Capital

KW - Trade

KW - Transportation

UR - http://www.scopus.com/inward/record.url?scp=84994789859&partnerID=8YFLogxK

UR - http://www.scopus.com/inward/citedby.url?scp=84994789859&partnerID=8YFLogxK

M3 - Article

VL - 1

SP - 25

EP - 65

JO - Region

JF - Region

SN - 2409-5370

IS - 1

ER -

Celbis MG, Nijkamp P, Poot J. Infrastructure and trade: A meta-analysis. Region. 2014 May 8;1(1):25-65.