The productivity of public capital: Evidence from Japan’s 1994 electoral reform

Kawaguchi, Daiji; Ohtake, Fumio; Tamada, Keiko

doi:10.1016/j.jjie.2009.05.001

Cited by 6 publications

(2 citation statements)

References 20 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Such a study is the one conducted by Deliktas et al (2009), on the case of Turkey, which emphasizes positive and negative long-term effects of public capital installed outside of regions over others. Thus, in the Marmara region, which represents 60% of private manufactured in Turkey and that attracts most public investment, around 30%, the effects are positive, while in the south-east Anatolia, the effects are negative 7 . These cases are explained by the mobility of production factors, from the less developed to developed ones.…”

Section: Literature Review On the Correlation Between Public Capital mentioning

confidence: 99%

“…This multiplier effect is generated by an increase in the marginal productivity of capital and labor, as the wealth reduction due to higher taxes 5 . Another study concerned the causal effect of the public capital stock on production was carried out by Kawaguchi et al (2009), using as natural experiment the electoral reform in Japan in 1994, which resulted in changes in public capital between the regions of the country. Empirical testing can not reject the null hypothesis that public capital is not productive based on estimates from this experiment.…”

Section: Literature Review On the Correlation Between Public Capital mentioning

confidence: 99%

See 1 more Smart Citation

Analysis of the Correlations Between Public Capital Investments and Economic Development in Romania

Sava¹,

Zugravu²

2010

SCECO

View full text Add to dashboard Cite

Literature Review on the Correlation Between Public Capital Investments and Economic DevelopmentThe purpose of this literature review is to present a selection of studies and reports which show the positive and also the negative correlations between public capital investments and economic growth, studies that were based on results obtained in the respective countries. Discussions on the effects of infrastructure had increased especially after 1989, with the assumption made by David Alan Aschauer, that the decline in productivity of public services is crucial to explain the general decline in growth. With his work as a support results in which analyzed the economic situation of the United States, Aschauer noted that an increase of 1% of the stock of public capital generates a 0.4% increase in productivity 1 . As a consequence, sustained participation of state capital is able to contribute to economic growth. Various empirical studies show the importance of public capital composition on growth of different regions, as some components have greater direct effects on the production process than others. An example is the study of Mastromarco and Ulrich (2006), on the case of Italy, which shows that capital investment include a basic infrastructure and other non-basic type. The first category included: roads and airports, railways and metros, ports, power lines and water, telecommunications, while the seconds include hospitals, public buildings etc 2 .

show abstract

Section: Literature Review On the Correlation Between Public Capital mentioning

confidence: 99%

Section: Literature Review On the Correlation Between Public Capital mentioning

confidence: 99%