Public Infrastructure and Regional Economic Development: Evidence from China
This paper estimates an economic growth equation cross-sectionally for thirty provinces and cities in China for 1990–94 using an expanded production function which includes infrastructure variables as well as traditional variables such as labour, capital and export. Special care was taken in the selection of the infrastructure variables to avoid corruption of coefficients of these variables caused by a possible mutual influence between infrastructure investment and economic growth. The results show that transportation and telecommunication growth has had a large and positive impact on regional economic growth performance and infrastructure development should continue to be an important component of any policy package designed to promote balanced growth of China’s regional economies.
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"Fiscal Policy and Economic Growth: An Empirical Investigation,"
NBER Working Papers
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- Aschauer, David Alan, 1989.
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