Is Public Capital More Productive than Private Capital: Evidence from Latvia 1995-2009
AbstractThe purpose of this article is to estimate private and public capital contribution to economic growth in Latvia 1995-2009 using production function approach. It was found that both private and public capital have positive and statistically significant impact on economic growth and labour productivity. Moreover, public capital is 1.6 times more productive than private capital. Nevertheless, private capital accumulation affects technical progress through "learning by doing" externality. It was shown that total factor productivity and private capital formation were the main driving forces of economic growth in Latvia 1995-2009. It was pointed out that production function should be augmented with cyclical variables when output is constrained by the aggregate demand which is a case for Latvia in 2008-2009.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by Bulgarian Academy of Sciences - Economic Research Institute in its journal Economic Studies.
Volume (Year): (2011)
Issue (Month): 3 ()
Find related papers by JEL classification:
- C5 - Mathematical and Quantitative Methods - - Econometric Modeling
- H4 - Public Economics - - Publicly Provided Goods
- H54 - Public Economics - - National Government Expenditures and Related Policies - - - Infrastructures
- O47 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Measurement of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
- O52 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Europe
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Krasnopjorovs, Olegs, 2013.
"Latvijas ekonomikas izaugsmi noteicošie faktori
[Factors of Economic Growth in Latvia]," MPRA Paper 47550, University Library of Munich, Germany.
- Krasnopjorovs, Olegs, 2013. "Factors of Economic Growth in Latvia," MPRA Paper 45500, University Library of Munich, Germany.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Diana Dimitrova).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.