How Does Transportation Shape Regional Development in Switzerland

Transportation infrastructure only becomes relevant when it comes to selecting a place of residence in a peripheral or central location. When planning future requirements for transportation infrastructure, it is important to take account of this cause-and-effect pattern. Transportation and spatial planning influence each other. Consequently, it would be beneficial for everyone involved if the relevant bodies were to work closely together. Those are the findings of the latest study from Credit Suisse Economic Research.

The transportation infrastructure is fundamental to the smooth functioning of both business and residential locations. Consequently, good accessibility should be reflected in positive regional development. But does such a correlation actually exist? The new Credit Suisse study examines this issue with regard to Switzerland as a whole. The mobility situation and the correlation between transportation and regional development were examined in detail in the case of Aargau, as transportation is of particular importance to this canton owing to its specific location. To this end, commuters' time costs and changes in locations quality for various traffic scenarios were modelled. Good Transportation infrastructure Does Not Guarantee Employment Growth

The Credit Suisse study examines the influence of transportation infrastructure within Switzerland's ad hoc defined macro-regions. It can be seen that the economic power of these regions rises in line with improving accessibility while their attractiveness to certain industries also increases. For Switzerland as a whole, this applies in particular to the provision of business services while in Aargau it applies to high-tech industry and to the forwarding and transportation sectors. On the other hand, greater accessibility is not necessarily associated in Switzerland with more dynamic economic development. Between the rapid growth of the centers and the moderate growth on the fringe of the major economic regions, there is a dip in employment growth in the inner ring around the centers. Structural economic change in these areas has led to stagnating employment, which overlays the influence of transportation infrastructure on the region's development. Population Growth Between Suburbanization and Reurbanization

The correlation between population growth and accessibility varies. Between 1990 and 2000, population followed a suburbanization trend – the more accessible the area, the lower the rate of population growth. High prices and rents in central locations plus the desire to live among greenery and in one's own property were more important criteria for people seeking a home than an easily accessible location. This is also reflected in the distribution of income, which is highest outside the centers. After the year 2000, the correlation to population growth turned around: the higher the degree of accessibility, the more dynamic the population growth. One reason for this turnaround was the high rate of immigration in recent years: Migrants generally head for urban centers. Residential construction, however, is less oriented to this new taste for city centers: Most building work is still being done outside the cities.

The distribution of business and residential locations between centers and peripheral areas inevitably gives rise to commuter flows. Since the spatial separation of working and living areas is especially pronounced in Aargau, this canton sees above-average commuter flows. Consequently, great importance is attached to car use – and, like in the rest of Switzerland, the trend is on the up. In the future, traffic flows in Aargau may be boosted not only by a rising volume of transit traffic but also by continuing population growth. The possible repercussions of this development on locational quality and time costs for road commuters were thus modeled for the canton of Aargau. How and Where Does the Upgrading of Transportation Infrastructure Affect Development?

According to the Credit Suisse economists, better accessibility gives rise to greater economic growth –especially in places where accessibility is already high. Economic growth in Switzerland is focused on the fast-growing areas of the Mittelland (central plateau) and the Lake Geneva region. Within these areas, improvements to accessibility have the effect of boosting development. Moreover, analysis results reflect the effects that transportation upgrades have on settlement patterns, though here again the trend has varied from one period to another: Prior to 2000, population grew at faster-than-average rates in almost all areas that saw improvements to public transportation; after 2000, such growth was seen mainly in the centers and the areas immediately adjacent to them. Impact of Changes in Transportation Infrastructure Varies According to Specific Situation

The study has shown that regional development cannot be explained simply by the equation "better access = higher growth". The importance of transportation and accessibility is superceded by larger-scale processes such as structural change and suburbanization. Following a phase of stagnation, the importance of the urban centers has risen again in recent years. By contrast, the areas immediately adjacent to them, as the first targets of suburbanization, have lost some of their importance as residential and business locations. Following structural change, therefore, the centers are experiencing a renaissance whereas restructuring now seems mainly to be affecting the built-up areas adjoining them. Meanwhile, growth on the fringe of the major economic regions is continuing. Accessibility by various modes of transportation (or improvements to accessibility) becomes relevant as locational factors within this general evolution. Transportation Planning Not the Only Answer to Mobility Issues

The fact that many Swiss work in a location other than their place of residence gives rise to a high proportion of traffic flows. Solving this structural transportation problem means addressing the structures themselves. For one thing, planning of settlement patterns and transportation infrastructure could be coordinated, notably through close cooperation between the main players in local and regional government. Ultimately, everyone stands to benefit from a properly functioning regional and national transportation infrastructure. A common interest in the overriding goal of optimized spatial organization should emerge from these considerations. The incentives structure holds the key to future planning. Making a particular mode of transportation more attractive, for example, may adversely affect another mode or promote residential development in poorly accessible areas. Therefore, measures taken at the political and planning level should take proper account of the shifts in incentives triggered by these changes and their possible impact on future development.