Micro- and Macro-Level Investigations of the Impacts of Transportation Infrastructure on Agricultural Gross Income in South Korea

This study aims to investigate a fundamental yet largely overlooked question: “Does investing in transportation infrastructure positively impact farms’ agricultural gross income?” It is examined based on the role of transportation infrastructure in ensuring equal access to market opportunities in the context of the widening regional economic disparity in Korea. The main novelty of this study lies in its attempt to introduce an accessibility measure for evaluating the benefits of transportation infrastructure in a rural setting, which has been limitedly applied in urban-centered studies. To accomplish this task, multilevel and spatial econometric models were employed to evaluate the ex-post impact of transportation accessibility on agricultural gross income from the perspectives of farmers, primarily, and rural autonomies, subsequently. This study found that the continuation of the current direction of transportation policy—without substantial consideration for agriculture as an industry and rural areas as living spaces—can intensify the economic alienation of agriculture and rural areas. This study concludes that opportunities for market access provided by the immense public investments in transportation infrastructure should be fairly distributed to farmers and rural autonomies to promote balanced regional development in Korea.