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Public Infrastructure and State Economic Development

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  • Robert Krol

    (California State University, Northridge)

Abstract

The effect of public infrastructure on long-run economic performance has been actively debated in the academic literature and public policy circles. A comparison of the divergent results in this literature is difficult because studies use different data, production functions, and statistical procedures. A major point of contention is that the studies most favorable toward infrastructure investment ignore differences in state production functions. This study attempts to clarify the literature by using Munnell's original data, but also using estimation techniques that control for cross-state differences in production functions. The results confirm that the strong original findings were derived from poor estimation techniques.

Suggested Citation

  • Robert Krol, 1995. "Public Infrastructure and State Economic Development," Economic Development Quarterly, , vol. 9(4), pages 331-338, November.
  • Handle: RePEc:sae:ecdequ:v:9:y:1995:i:4:p:331-338
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    Cited by:

    1. Boarnet, Marlon G., 1997. "Infrastructure Services and the Productivity of Public Capital: The Case of Streets and Highways," National Tax Journal, National Tax Association, vol. 50(1), pages 39-57, March.
    2. Boarnet, Marlon G., 1996. "The Direct and Indirect Economic Effects of Transportation Infrastructure," University of California Transportation Center, Working Papers qt1506r290, University of California Transportation Center.
    3. Boarnet, Marlon G., 1997. "Infrastructure Services and the Productivity of Public Capital: The Case of Streets and Highways," National Tax Journal, National Tax Association, vol. 50(1), pages 39-57, March.

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