Title: Causality between economic growth and air transport expansion: empirical evidence from Mexico
Authors: Juan Gabriel Brida; Martín Alberto Rodríguez-Brindis; Sandra Zapata-Aguirre
Addresses: Departamento de Métodos Cuantitativos, Facultad de Ciencias Económicas y de Administración, Universidad de la República, Eduardo Acevedo 1135, 11200 Montevideo, Uruguay ' Escuela de Economía y Negocios, Universidad Anáhuac Oaxaca, 71240, Oaxaca, México ' Institución Universitaria Colegio Mayor de Antioquia, Medellin, Colombia; Kore University of Enna, Cittadella Universitaria, 94100 Enna, Italy
Abstract: This paper analyses the effects in the long-run between air transport demand and the economic growth in Mexico. Using quarterly data from 1995qIII to 2013qIV, the study investigates possible causal relationships between real GDP and number of air passengers in arriving and departing from Mexican airports. Johansen cointegration analysis shows the existence of one cointegrated vector where the corresponding elasticities are positive. The study shows that the causality relationship is positive and bidirectional. Impulse response analysis shows that an increase in the magnitude of air transport expansion in Mexico produces a positive effect on economic growth in the country.
Keywords: economic growth; air transport expansion; Johansen cointegration; Granger causality; Mexico; GDP; gross domestic product; air passengers; passenger arrivals; passenger departures; airports.
World Review of Intermodal Transportation Research, 2016 Vol.6 No.1, pp.1 - 15
Received: 15 Dec 2014
Accepted: 29 Apr 2015
Published online: 04 Aug 2016 *