Capital público y efectos desbordamiento. Un análisis del impacto de las infraestructuras sobre la actividad privada por Comunidades Autónomas

Alicia Avilés Zugasti, Rosario Gómez García and José Sánchez Maldonado

No 2001-22, Working Papers from FEDEA

Abstract: This paper presents an study of the impact of the public infrastructure on private activity of industry and construction sectors for the Spanish regions from 1980 to 1993. We use a cost function approach, but the possibility of the existance of spillovers effects is always considered. This study shows that if these effects are not taken into account, public capital productivity results point to a reduced impact, which could be even negative. These results are in line with those obtained in studies using regional samples. On the other hand, if certain adjustments are used, as it is proposed in this paper, over either public capital variable or the model itself, positive and significative results are obtained. This yields to the conclusion that spillovers measures become important and the procedure to incorporate their influence has to be watched closely.

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