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Productivity and Infrastructure in the Italian Regions

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  • Lucio Picci

    () (University of Bologna)

Abstract

I address the issue of whether public infrastructure plays any role in determining factor productivity in the Italian regions. To this end, a new data set on Italian regional capital is used for the first time. The empirical analysis, carried out using panel data econometric techniques, leads to the conclusion that the role of public capital is significant, the more so for those categories of public goods, such as roads and railways, that form the so called “core” infrastructure. As a policy implication of the empirical evidence, it is argued that an effort should be made to increase investments in infrastructure.

Suggested Citation

  • Lucio Picci, 1999. "Productivity and Infrastructure in the Italian Regions," Giornale degli Economisti, GDE (Giornale degli Economisti e Annali di Economia), Bocconi University, vol. 58(3-4), pages 329-353, December.
  • Handle: RePEc:gde:journl:gde_v58_n3-4_p329-353
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    Keywords

    infrastructure; productivity; Italian regions; panel data;

    JEL classification:

    • H54 - Public Economics - - National Government Expenditures and Related Policies - - - Infrastructures
    • C80 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - General

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