A study about the determinants of road construction in the Philippines

• Main Authors: Copo, Angelico Miguel M., Esquejo, Maria Ana Margarita W., Garcia, Dawn A., Sarmiento, Zsarmaine Marie A.
• Format: text
• Language: English
• Published: Animo Repository 2008
• Online Access: https://animorepository.dlsu.edu.ph/etd_bachelors/14742
• Institution: De La Salle University

An efficient land transport infrastructure via an extensive road network has enormous multiplier effects on the economy. This paper aims to empirically determine the factors considered in choosing the region prioritized over the others in the construction of national roads. It looks into the significance of road construction on intraregional flows in the Philippines. This brings to light new information since it highlights the intra-regional rather than the inter-regional flow of products. It hopes to suggest which among the multi-dimensional aspect of road construction should be explored by policy-makers in enhancing intraregional competitive advantage. The theoretical model used to test the determinants of road construction by region is the center-periphery model. Socioeconomic demographic data like population density, number of vehicles, number of private establishments, GDP per capita, number of employed individuals, and the official budget for roads are included in a system of equations to pinpoint the most significant determinants of road construction per region. The quality of roads constructed is also considered. Engineering data which include quality type of total kilometers of road constructed will be regressed in Panel Regressions. Panel regional data for the years 1991-2005 are collected for the study. Actual results indicate that all variables are significant factors for road construction allocation in terms of monetary value represented by GAA and physical values in term of road kilometers. Only population density has negative relationship with the dependent variables. It has been found out that centers have better quality roads, which is concrete and peripheries end up with lesser quality which is gravel roads.