Infrastructure investment across Spanish regions: determinants and calculation of an expenditure needs index
AbstractThis paper constructs an index of infrastructure needs for the Spanish regions (Comunidades Autónomas). Using theoretical models, we define and econometrically estimate equations on the determinants of public investment in infrastructures undertaken by the different levels of government (regional and central) for the period 1987-1996. The estimated parameters for the investment determinants allow us to calculate a needs index, which reveals (and quantifies): first, the existence of a trade-off between equity and efficiency for the different levels of government when deciding public investments in infrastructures, and second, the importance on including additional (to GDP and population) need variables to calculate a territorial distribution rule of public investment in infrastructures.
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Bibliographic InfoArticle provided by IEF in its journal Hacienda Pública Española/Revista de Economía Pública.
Volume (Year): 178 (2006)
Issue (Month): 3 (September)
Infrastructures; investment needs; public investment.;
Find related papers by JEL classification:
- H1 - Public Economics - - Structure and Scope of Government
- H54 - Public Economics - - National Government Expenditures and Related Policies - - - Infrastructures
- H72 - Public Economics - - State and Local Government; Intergovernmental Relations - - - State and Local Budget and Expenditures
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