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Impact of public capital on the manufacturing productive performance of Japanese industries

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  • Shandre Mugan Thangavelu
  • David Owyong

Abstract

The paper analyses the impact of public capital on the Japanese manufacturing industries from 1970 to 1995. Unlike previous studies, which are based mostly on economy-wide analysis, this study is based on a disaggregated analysis at the industry level. A Generalized Leontief cost function is utilized to estimate the impact of public capital on nine manufacturing industries in Japan. The results indicate that public capital offers no insignificant contribution to the productive performance of these manufacturing industries except for Paper, Textiles and Transport. The paper also suggests that the bubble economy in the 1980s is the contributing factor behind this insignificant effect of public capital.

Suggested Citation

  • Shandre Mugan Thangavelu & David Owyong, 2000. "Impact of public capital on the manufacturing productive performance of Japanese industries," Applied Economics, Taylor & Francis Journals, vol. 32(12), pages 1515-1520.
  • Handle: RePEc:taf:applec:v:32:y:2000:i:12:p:1515-1520
    DOI: 10.1080/000368400418925
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    Cited by:

    1. 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.
    2. Fedderke, J.W. & Bogetic, Z., 2009. "Infrastructure and Growth in South Africa: Direct and Indirect Productivity Impacts of 19 Infrastructure Measures," World Development, Elsevier, vol. 37(9), pages 1522-1539, September.
    3. Christopher N. Annala & Raymond G. Batina & James P. Feehan, 2008. "Empirical Impact Of Public Infrastructure On The Japanese Economy," The Japanese Economic Review, Japanese Economic Association, vol. 59(4), pages 419-437.

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