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Efficient Infrastructure Supply for Economic Development in Transition Countries: The Case of Ukraine

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  • Boris Dodonov
  • Christian Von Hirschhausen
  • Petra Opitz
  • Pavlo Sugolov

Abstract

Infrastructure restructuring is one of the major elements of structural reforms in transition economies because of its expected large economic and social impact. This article aims to assess the role of infrastructure policy in economic development in transition countries in general and Ukraine in particular. We test the relationship between infrastructure policy and economic growth, though this test is carried out at a very aggregate level due to data problems. According to our estimations the government can make an indirect contribution to economic development by enhancing competition and efficiency within the infrastructure industries. The article also develops a framework to analyse and compare infrastructure policies across transition countries, and provides a detailed survey of infrastructure policies in Ukraine. We conclude that the major element of reforms should be tariff reform, carried out concurrently with commercialisation and deregulation of the sector.

Suggested Citation

  • Boris Dodonov & Christian Von Hirschhausen & Petra Opitz & Pavlo Sugolov, 2002. "Efficient Infrastructure Supply for Economic Development in Transition Countries: The Case of Ukraine," Post-Communist Economies, Taylor & Francis Journals, vol. 14(2), pages 149-167.
    • Handle: RePEc:taf:pocoec:v:14:y:2002:i:2:p:149-167
    DOI: 10.1080/14631370220139909
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    2. Vaqar Ahmed & Ahsan Abbas & Saira Ahmed, 2013. "Public infrastructure and economic growth in Pakistan: a dynamic CGE-microsimulation analysis," Working Papers MPIA 2013-01, PEP-MPIA.
    3. Ahmed, Vaqar & Abbas, Ahsan & Ahmed, Sofia & Zeshan, Muhammed, 2012. "Public Infrastructure and Economic Growth in Pakistan: A Dynamic CGE- microsimulation Analysis," Conference papers 332289, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    4. Juan A. Núñez-Serrano & Francisco J. Velázquez, 2017. "Is Public Capital Productive? Evidence from a Meta-analysis," Applied Economic Perspectives and Policy, Agricultural and Applied Economics Association, vol. 39(2), pages 313-345.
    5. 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.

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