Transportation Efficiency in Latvia in the Context of Economic Productivity and Environmental Sustainability

This study analyzes the transportation efficiency in Latvia within the broader context of economic productivity and environmental sustainability. The study aims also to explore how transportation efficiency is influenced by Latvia's unique spatial distribution of population density, in particular, the pronounced concentration of residents in the capital / its surroundings and the sparse population (rural areas – almost uninhabitable) of territories near the borders with neighboring countries (including EU). The object of this study is the territories of Latvian municipalities (36 counties and 7 cities of national significance that are not part of the counties), the empirical base is territorial statistics and data from the State Treasury of Latvia for 2022–2023. Quantitative research methods: correlation analysis using the Pearson coefficient, two-stage hierarchical cluster analysis. The results of the study indicate significant differences between the central (within a radius of approximately 100 km from Riga) and remote territories of the country. Centered municipalities benefit from better transport infrastructure, higher economic productivity and comparatively low per capita greenhouse gas emissions, but face problems associated with concentrated emissions per unit area. In contrast, Latvia’s remote municipalities demonstrate lower economic productivity, relatively high per capita greenhouse gas emissions and poor transport infrastructure, leading to economic isolation and environmental inefficiency. The study emphasizes the need for tailored strategies to enhance transportation efficiency in Latvia: optimizing networks and promoting sustainable transport in centered regions, and investing in infrastructure and innovative mobility solutions in remote areas.