Geographic and Network Neighbors: Spillover Effects of Telecommunications Infrastructure

22 Pages Posted: 18 Mar 2003

See all articles by Serdar Yilmaz

Serdar Yilmaz

World Bank

Kingsley E. Haynes

Schar School of Policy and Government, George Mason University

Mustafa Dinc

World Bank

Abstract

This paper tests for spatial spillover effects of state-level telecommunications infrastructure investment on state output, using panel data for 48 U.S. states from 1970 through 1997. As information and communication technologies support more industrial locational freedom, states may use telecommunications infrastructure investment as a competitive tool for attracting factors of production. In a production-function framework, this effect would manifest itself as a negative output spillover effect from telecommunications infrastructure investment. Findings indicate that a state benefits from its own telecommunications infrastructure, but telecommunications investment by other states has a negative impact on its output growth path, and proximity amplifies this negative spillover effect.

Suggested Citation

Yilmaz, Serdar and Haynes, Kingsley E. and Dinc, Mustafa, Geographic and Network Neighbors: Spillover Effects of Telecommunications Infrastructure. Journal of Regional Science, Vol. 42, pp. 339-360, 2002. Available at SSRN: https://ssrn.com/abstract=313506

Serdar Yilmaz (Contact Author)

World Bank ( email )

1818 H Street, N.W.
Washington, DC 20433
United States

Kingsley E. Haynes

Schar School of Policy and Government, George Mason University ( email )

Founders Hall
3351 Fairfax Dr.
Arlington, VA 22201
United States

Mustafa Dinc

World Bank ( email )

1818 H Street, N.W.
Washington, DC 20433
United States

Register to save articles to
your library

Register

Paper statistics

Downloads
21
Abstract Views
1,982
PlumX Metrics