Can national infrastructure spending reduce local unemployment? Evidence from an Australian roads program
We examine the effect of a federally-funded local infrastructure spending program on local unemployment rates. To address the likely funding endogeneity problem, we exploit variation in spending due to pork-barreling, and find that higher government expenditure on roads substantially reduces local unemployment.
If 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.
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Kevin Milligan & Michael Smart, 2005. "Regional Grants as Pork Barrel Politics," CESifo Working Paper Series 1453, CESifo Group Munich.
- Levitt, Steven D & Poterba, James M, 1999.
"Congressional Distributive Politics and State Economic Performance,"
Springer, vol. 99(1-2), pages 185-216, April.
- Steven D. Levitt & James M. Poterba, 1994. "Congressional Distributive Politics and State Economic Performance," NBER Working Papers 4721, National Bureau of Economic Research, Inc.
- Andrew Leigh, 2008. "Bringing home the bacon: an empirical analysis of the extent and effects of pork-barreling in Australian politics," Public Choice, Springer, vol. 137(1), pages 279-299, October.
- Peter Kenyon, 1997. "Infrastructure Spending and Unemployment: Government Responsibility for Growth and Jobs," Australian Economic Review, The University of Melbourne, Melbourne Institute of Applied Economic and Social Research, vol. 30(4), pages 421-432. Full references (including those not matched with items on IDEAS)