Air transport, economic growth, and regional inequality across three Chinese macro‐regions. (16th September 2021)

• Record Type: Journal Article
• Authors: Wong, David Wai‐Ho; Zhao, Simon Xiao‐Bin; Lee, Harry Fung
• Is Part Of: Geographical research. Volume 60:Number 3(2022)
• Page Start: 446
• Page End: 462
• Publication Date: 2021-09-16
• Subjects: airport development -- China -- economic growth -- equity‐efficiency trade‐off -- growth‐enhancing effects -- regional inequality; Geography -- Research -- Periodicals; Geography -- Australasia -- Periodicals; Human geography -- Periodicals; Physical geography -- Periodicals; 304.2072
• DOI: 10.1111/1745-5871.12511
• Languages: English
• ISSNs: 1745-5863

Abstract

Abstract: This research considers the effects of air transport on economic growth and asks how airport development affects regional convergence across three Chinese macro‐regions. A growing body of research has examined national aviation‐growth relationships in developing countries over the last decade. Yet few studies have sought to determine whether air transport boosts regional development, especially in developing and emerging economies. Using a dataset spanning from 2005 to 2017, and drawing on panel data regression and instrumental variable analyses, we provide empirical evidence that air transport drives economic growth in China and its macro‐regions. However, we find no major synergy across air, high‐speed rail, and waterway transport as drivers of economic growth at national and regional levels. Furthermore, air transport has a significant effect in widening China's per capita income disparity. On that basis, we suggest Chinese local governments should carefully consider equity‐efficiency trade‐offs and provincial and municipal conditions and regional contexts when planning new airports, increasing airport services, or extending aviation connectivity. Others elsewhere may derive insights from these findings. Abstract : Using a dataset from 2005 to 2017 and panel data regression and instrumental variable analyses, we provide empirical evidence that air transport drives economic growth in China and its macro‐regions. However, we find no major synergy between air, high‐speed rail, and waterway transport in driving economic growth at the national and regional levels. Furthermore, air transport has a significant effect in widening China's per capita income disparity.