Analysis Of The Relationship Between Transport Infrastructure And Economic Growth In Liaoning Province

Traffic infrastructure is the basic industry of regional economy and social cause development, and it is also the important sustenance and assurance of it. There is important theoretical and practical significance to deal well with the relationship between it and the other department of regional economy system. Only by so doing can social economic activity be going on in an orderly way and social economy be substantially developing. It has always been assumed that a high quality transport infrastructure is an essential prerequisite for economic development, yet this assumption has never really been investigated in depth. Over time it has become axiomatic and part of the underling rationale for transport investment decisions.After reviewing studies both from home and abroad on the relationship between the transport infrastructure and economic growth, the paper analyzed the development process of transport infrastructure in Liaoning province. The paper built an analytic framework, in which how the construction of civil transport infrastructure affects the growth mechanism of regional economy is analyzed. The paper analyzes the effect of transport infrastructure in the growth of economy by using 1984～2008 time series data of Liaoning Province and co-integration. The calculation results prove that there is a long-term balanced relationship between transport infrastructure and the growth of economy. Subsequently, Granger causality test is used for a causal relationship between transport infrastructure and the growth of economy. The result proves that there is mutual influence between them. In the policy analysis part, the paper puts forward a series of policy recommendations in the development model, investment decisions, financing, management and futures directions in governmental construction of transport infrastructure.