Determining Non-Linear Causality between Urban and Non-Urban Ground Transport and Economic Growth Using Wavelet Neural Network (Case Study: Iran)

In the last few decades, the relationship between economic infrastructures, particularly transport sector, and economic growth has been the subject of many reserachers in different economies. Iran has many advantages considering particular geographic situation in terms of transport facilities as it connects many countries. In this study, the relationship among ground transport, economic growth, capital formation , and work force was examined by using quarterly data during 1992 to 2012. Required data were extracted from the statistics of Centeral Bank of Islamic Republic of Iran and yearbooks of Statistical Center of Iran. The most important difference of this study compared to other previous studies is using wavelet neural network method and non-linear approach in explaining the relationship among discussed variables. The results of causal relationship test between variables imply the existence of causality from ground transport to economic growth.