Discussion paper

DP9393 Roads and Trade: Evidence from the US

We estimate the effect of interstate highways on the level and composition of trade for us cities. Highways within cities have a large effect on the weight of city exports with an elasticity of approximately 0.5. We find little effect of highways on the total value of exports. Consistent with this, we find that cities with more highways specialize in sectors producing heavy goods.


Duranton, G, M Turner and P Morrow (2013), ‘DP9393 Roads and Trade: Evidence from the US‘, CEPR Discussion Paper No. 9393. CEPR Press, Paris & London. https://cepr.org/publications/dp9393