Abstract

The thesis contains three empirical studies into economic effects of infrastructure, focusing on different aspects of the Vietnamese economy during the period 2000-2007, namely, economic growth, private sector employment, and private sector location choices. In addition, the empirical studies explicitly take into account the potential existence of cross-province transport infrastructure spillovers. By estimating empirical models specified in accordance with the relevant literature and the context of the Vietnamese economy, and subject to the availability of data, the thesis obtains the following main findings. Firstly, there is evidence of a positive impact of transport infrastructure on economic growth, on private sector employment, and on private sector location choices. Secondly, sectoral differences in the impact of transport infrastructure are identified in the location choice analysis. Thirdly, the cross-province transport infrastructure spillovers cannot be seen in the growth analysis; whereas, there is some evidence of a negative spillover effect on private sector employment. In the location choice analysis, the evidence of spillovers varies dramatically. Finally, higher-education infrastructure, which is assumed to be associated with the capacity of qualified labour supply, is positively related to both private sector employment and location choices.