Highway Investment and Regional Economic Development: Decision Methods and Empirical Foundations

Federal and state highway programmes have been established to stimulate economic development in lagging US regions. In many instances, highway route location was influenced by regional development theory. Regional development theory argues that regional policy effectiveness depends upon the existence of certain socio-economic, spatial, resource and institutional 'triggering forces'. This paper reviews criteria used in US development highway corridor selection and variables identified by various regional development theories. A synthesis of highway empirical research suggests that geographical region, urbanisation, development and public infrastructure may be important 'triggering forces' in the US. However, further rigorous empirical research is needed in order to assess the various regional development theories and highway planning practice.