IDEAS home Printed from https://ideas.repec.org/a/bla/revurb/v17y2005i2p115-139.html
   My bibliography  Save this article

Effect Of Public Investment On The Regional Economies In Postwar Japan

Author

Listed:
  • Mitsuhiko Kataoka

Abstract

This paper examines the effect of public investment on the regional economies of postwar Japan. It evaluates the effects of efficiency†verses†equity†oriented allocation policies by estimating the aggregate regional production function and calculating the marginal productivity of public capital for each region, using panel data covering the 47 prefectures over the period from 1955 to 2000. The empirical results show that public capital investment has alternated between an allocation policy based on efficiency and one that is based on equity, and, in fact, such investment was used as a policy tool for adjusting income distribution and accelerating economic growth. Numerical simulations are used to analyze the trade†offs between economic efficiency and inter†prefectural equity. The results indicate that in the case of income†elastic labor mobility, an efficiency†oriented allocation policy leads to larger aggregate gross domestic product by promoting both growth and equity simultaneously.

Suggested Citation

  • Mitsuhiko Kataoka, 2005. "Effect Of Public Investment On The Regional Economies In Postwar Japan," Review of Urban & Regional Development Studies, Wiley Blackwell, vol. 17(2), pages 115-139, July.
    • Handle: RePEc:bla:revurb:v:17:y:2005:i:2:p:115-139
    DOI: 10.1111/j.1467-940X.2005.00100.x
    as

    Download full text from publisher

    File URL: https://doi.org/10.1111/j.1467-940X.2005.00100.x
    Download Restriction: no
    File URL: https://libkey.io/10.1111/j.1467-940X.2005.00100.x?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Pedro R. D. Bom & Jenny Ligthart, 2008. "How Productive is Public Capital? A Meta-Analysis," CESifo Working Paper Series 2206, CESifo.
    2. Emanuela Marrocu & Raffaele Paci, 2010. "The effects of public capital on the productivity of the Italian regions," Applied Economics, Taylor & Francis Journals, vol. 42(8), pages 989-1002.
    3. Valter Di Giacinto & Giacinto Micucci & Pasqualino Montanaro, 2012. "The Macroeconomic Impact of Infrastructures: A Literature Review and Empirical Analysis on the Case of Italy," QA - Rivista dell'Associazione Rossi-Doria, Associazione Rossi Doria, issue 1, March.
    4. Pedro R.D. Bom & Jenny E. Ligthart, 2009. "How Productive is Public Capital? A Meta-Regression Analysis," International Center for Public Policy Working Paper Series, at AYSPS, GSU paper0912, International Center for Public Policy, Andrew Young School of Policy Studies, Georgia State University.
    5. Pedro R.D. Bom & Jenny E. Ligthart, 2014. "What Have We Learned From Three Decades Of Research On The Productivity Of Public Capital?," Journal of Economic Surveys, Wiley Blackwell, vol. 28(5), pages 889-916, December.
    6. Mitsuhiko Kataoka, 2014. "Trends in the regional allocation of public investment in the post-bubble Japanese economy," Letters in Spatial and Resource Sciences, Springer, vol. 7(3), pages 205-212, October.
    7. Andrey V. Belov, 2018. "Tax Revenues, public investments and economic growth rates: evidence from Russia," Journal of Tax Reform, Graduate School of Economics and Management, Ural Federal University, vol. 4(1), pages 45-56.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:revurb:v:17:y:2005:i:2:p:115-139. See general information about how to correct material in RePEc.

    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.

    We have no bibliographic references for this item. You can help adding them by using 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=0917-0553 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.