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Chicken or egg? the PVAR econometrics of transportation

Ahlfeldt, Gabriel M. and Moeller, Kristoffer and Wendland, Nicolai (2014) Chicken or egg? the PVAR econometrics of transportation. SERC Discussion Papers, SERCDP0158. Spatial Economics Research Centre (SERC), London School of Economics and Political Science, London, UK.

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Identification Number: SERCDP0158


To analyze the mutually dependent relationship between local economic performance and the demand for and supply of transport services, we employ the structural panel VAR method that is popular in the macroeconomic literature, but which has not previously been applied to the modeling of within-city dynamics of transportation. We focus on a within-city panel of Berlin, Germany, during the heyday of the construction of its dense public transit network (1880–1914). Our results suggest that economic outcomes and supply of transport infrastructure mutually determine each other. Both transport demand and supply seem to be driven more by firms than by residents.

Item Type: Monograph (Discussion Paper)
Official URL:
Additional Information: © 2014 The Authors
Subjects: H Social Sciences > HB Economic Theory
H Social Sciences > HD Industries. Land use. Labor
Sets: Departments > Geography and Environment
Research centres and groups > Spatial Economics Research Centre
Date Deposited: 16 Jul 2014 07:28
Last Modified: 16 Jul 2014 07:31
Funders: Economic and Social Research Council, Department for Business, Innovation & Skills (BIS), Welsh Assembly Government

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