EconPapers    
Economics at your fingertips  
 

Infrastructure's contribution to aggregate output

David Canning

No 2246, Policy Research Working Paper Series from The World Bank

Abstract: Using panel data for a cross-section of countries, the author estimates an aggregate production function that includes infrastructure capital. He finds that: 1) The productivity of physical and human capital is close to the levels suggested by microeconomic evidence on their private returns. 2) Electricity generating capacity and transportation networks have roughly the same marginal productivity as capital as a whole. 3) Telephone networks appear to show higher marginal productivity than other types of capital. Panel data co-integration methods used in estimation take account of the non-stationary nature of the data, are robust to reverse causation, and allow for different levels of productivity and different short-run business-cycle and multiplier relationships across countries.

Keywords: Economic Theory&Research; Banks&Banking Reform; Decentralization; Capital Markets and Capital Flows; Fiscal&Monetary Policy; Economic Theory&Research; Banks&Banking Reform; Economic Growth; Environmental Economics&Policies; Inequality (search for similar items in EconPapers)
Date: 1999-11-30
References: View references in EconPapers View complete reference list from CitEc
Citations View citations in EconPapers (36) Track citations by RSS feed

Downloads: (external link)
http://www-wds.worldbank.org/servlet/WDSContentSer ... d/PDF/multi_page.pdf (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: http://EconPapers.repec.org/RePEc:wbk:wbrwps:2246

Access Statistics for this paper

More papers in Policy Research Working Paper Series from The World Bank
Address: 1818 H Street, N.W., Washington, DC 20433
Contact information at EDIRC.
Series data maintained by Roula I. Yazigi ().

 
Page updated 2014-04-15
Handle: RePEc:wbk:wbrwps:2246