Impacts and Dynamics of Transport Infrastructure Development on Regional Socioeconomic Growth
Impacts and Dynamics of Transport Infrastructure Development on Regional Socioeconomic Growth

Summary/Abstract: his article analyzes the impact of new highway infrastructure construction on the socioeconomic development of the Hradec Králové region in the Czech Republic. Using a difference-in-differences approach and a synthetic control method, the study examined the effect of a 50.2 km highway section connecting Prague and Hradec Králové on indicators such as unemployment, population migration, housing construction, and the establishment of new businesses. Data at the "municipalities with extended jurisdiction" level were used over nearly two decades. Results suggest that socioeconomic benefits don't occur automatically; their direction and magnitude vary depending on regional economic and geographical conditions. Initially, the region saw increased unemployment, but this improved over time. Post-highway construction, population growth was lower than expected initially, but gradually increased, suggesting lagged effects. Housing development showed a delayed positive trend, while firm establishment showed limited and statistically insignificant short-term effects. This research offers valuable insights for future infrastructure project planning and their impact on regional development.

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