The Golden Quadrilateral Highway Project and Urban/Rural Manufacturing in India
This study investigates the impact of the Golden Quadrilateral highway project on the urban and rural growth of Indian manufacturing. The Golden Quadrilateral project upgraded the quality and width of 5,846 km of roads in India. The study uses a difference-in-difference estimation strategy to compar...
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| Format: | Policy Research Working Paper |
| Language: | en_US |
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World Bank, Washington, D.C.
2013
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| Online Access: | http://hdl.handle.net/10986/16314 |
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okr-10986-163142021-04-23T14:03:28Z The Golden Quadrilateral Highway Project and Urban/Rural Manufacturing in India Ghani, Ejaz Goswami, Arti Grover Kerr, William R. access roads accounting businesses cities connectivity crossing Development Economics districts driving economic activity economic conditions Economic Growth Economics elasticity electricity employment Enterprise Development Enterprise Surveys expressways female freight freight movement gender Highway Highway Congestion highway construction highway improvements highway infrastructure highway network highway networks Highway Project highway projects highway system highway systems Highways Impact of Transport impacts of transportation implementations Income industrial development industrialization infrastructure projects institution international standards Interstate Highway System inventory inventory management labor markets labor productivity lanes longer distances Manufacturing material migration movement of goods national highways open access outputs passenger traffic population densities productivity productivity growth Railroads rents results road Road Congestion road network Road transport roads rural area rural areas satellite suburbs suppliers time frame time frames time period traffic volume Transport Infrastructure transportation infrastructure transportation networks true urban area urban areas urban land urban planning urbanization uses villages Web zoning This study investigates the impact of the Golden Quadrilateral highway project on the urban and rural growth of Indian manufacturing. The Golden Quadrilateral project upgraded the quality and width of 5,846 km of roads in India. The study uses a difference-in-difference estimation strategy to compare non-nodal districts based on their distance from the highway system. For the organized portion of the manufacturing sector, the Golden Quadrilateral project led to improvements in both urban and rural areas of non-nodal districts located 0-10 km from the Golden Quadrilateral. These higher entry rates and increases in plant productivity are not present in districts 10-50 km away. The entry effects are stronger in rural areas of districts, but the differences between urban and rural areas are modest relative to the overall effect. The productivity consequences are similar in both locations. The most important difference appears to be the greater activation of urban areas near the nodal cities and rural areas in remote locations along the Golden Quadrilateral network. For the unorganized sector, no material effects are found from the Golden Quadrilateral upgrades in either setting. These findings suggest that in the time frames that we can consider -- the first five to seven years during and after upgrades -- the economic effects of major highway projects contribute modestly to the migration of the organized sector out of Indian cities, but are unrelated to the increased urbanization of the unorganized sector. 2013-11-25T19:43:10Z 2013-11-25T19:43:10Z 2013-09 http://hdl.handle.net/10986/16314 en_US Policy Research Working Paper;No.6620 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, D.C. Publications & Research :: Policy Research Working Paper Publications & Research South Asia India |
| repository_type |
Digital Repository |
| institution_category |
Foreign Institution |
| institution |
Digital Repositories |
| building |
World Bank Open Knowledge Repository |
| collection |
World Bank |
| language |
en_US |
| topic |
access roads accounting businesses cities connectivity crossing Development Economics districts driving economic activity economic conditions Economic Growth Economics elasticity electricity employment Enterprise Development Enterprise Surveys expressways female freight freight movement gender Highway Highway Congestion highway construction highway improvements highway infrastructure highway network highway networks Highway Project highway projects highway system highway systems Highways Impact of Transport impacts of transportation implementations Income industrial development industrialization infrastructure projects institution international standards Interstate Highway System inventory inventory management labor markets labor productivity lanes longer distances Manufacturing material migration movement of goods national highways open access outputs passenger traffic population densities productivity productivity growth Railroads rents results road Road Congestion road network Road transport roads rural area rural areas satellite suburbs suppliers time frame time frames time period traffic volume Transport Infrastructure transportation infrastructure transportation networks true urban area urban areas urban land urban planning urbanization uses villages Web zoning |
| spellingShingle |
access roads accounting businesses cities connectivity crossing Development Economics districts driving economic activity economic conditions Economic Growth Economics elasticity electricity employment Enterprise Development Enterprise Surveys expressways female freight freight movement gender Highway Highway Congestion highway construction highway improvements highway infrastructure highway network highway networks Highway Project highway projects highway system highway systems Highways Impact of Transport impacts of transportation implementations Income industrial development industrialization infrastructure projects institution international standards Interstate Highway System inventory inventory management labor markets labor productivity lanes longer distances Manufacturing material migration movement of goods national highways open access outputs passenger traffic population densities productivity productivity growth Railroads rents results road Road Congestion road network Road transport roads rural area rural areas satellite suburbs suppliers time frame time frames time period traffic volume Transport Infrastructure transportation infrastructure transportation networks true urban area urban areas urban land urban planning urbanization uses villages Web zoning Ghani, Ejaz Goswami, Arti Grover Kerr, William R. The Golden Quadrilateral Highway Project and Urban/Rural Manufacturing in India |
| geographic_facet |
South Asia India |
| relation |
Policy Research Working Paper;No.6620 |
| description |
This study investigates the impact of the Golden Quadrilateral highway project on the urban and rural growth of Indian manufacturing. The Golden Quadrilateral project upgraded the quality and width of 5,846 km of roads in India. The study uses a difference-in-difference estimation strategy to compare non-nodal districts based on their distance from the highway system. For the organized portion of the manufacturing sector, the Golden Quadrilateral project led to improvements in both urban and rural areas of non-nodal districts located 0-10 km from the Golden Quadrilateral. These higher entry rates and increases in plant productivity are not present in districts 10-50 km away. The entry effects are stronger in rural areas of districts, but the differences between urban and rural areas are modest relative to the overall effect. The productivity consequences are similar in both locations. The most important difference appears to be the greater activation of urban areas near the nodal cities and rural areas in remote locations along the Golden Quadrilateral network. For the unorganized sector, no material effects are found from the Golden Quadrilateral upgrades in either setting. These findings suggest that in the time frames that we can consider -- the first five to seven years during and after upgrades -- the economic effects of major highway projects contribute modestly to the migration of the organized sector out of Indian cities, but are unrelated to the increased urbanization of the unorganized sector. |
| format |
Publications & Research :: Policy Research Working Paper |
| author |
Ghani, Ejaz Goswami, Arti Grover Kerr, William R. |
| author_facet |
Ghani, Ejaz Goswami, Arti Grover Kerr, William R. |
| author_sort |
Ghani, Ejaz |
| title |
The Golden Quadrilateral Highway Project and Urban/Rural Manufacturing in India |
| title_short |
The Golden Quadrilateral Highway Project and Urban/Rural Manufacturing in India |
| title_full |
The Golden Quadrilateral Highway Project and Urban/Rural Manufacturing in India |
| title_fullStr |
The Golden Quadrilateral Highway Project and Urban/Rural Manufacturing in India |
| title_full_unstemmed |
The Golden Quadrilateral Highway Project and Urban/Rural Manufacturing in India |
| title_sort |
golden quadrilateral highway project and urban/rural manufacturing in india |
| publisher |
World Bank, Washington, D.C. |
| publishDate |
2013 |
| url |
http://hdl.handle.net/10986/16314 |
| _version_ |
1764432814461157376 |