Economics, Econometrics and Finance
7 years ago

Reduced transport costs in rural areas lead to increased development and growth.

Journal of Regional Science
Transport Costs and Rural Development
Maureen Kilkenny

Paper Summary

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Reducing transport costs in rural areas can lead to economic growth. By lowering transportation expenses, businesses can expand and become more efficient. A study using a computer model found that cheaper transport can increase wages and influence where companies choose to operate. This research shows that improving transportation can benefit both industries and communities in rural areas.