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Infrastructure Development and Economic Growth in South Africa: A Review of the Accumulated Evidence

Author

Listed:
  • Fedderke, Johannes
  • Garlick, Robert

Abstract

This paper provides a broad overview of the relationship between infrastructure and growth, focusing on the South African case. The paper develops an intuitive theoretical framework in which to analyse this relationship, identifying five specific channels through which infrastructure may affect growth: as a factor of production, a complement to other factors of production, a stimulus to factor accumulation, a stimulus to aggregate demand and a tool of industrial policy. A framework is developed for evaluating empirical analyses of this relationship, which explores the implications of different definitions and measures of infrastructure and of potential data and estimation challenges. The empirical literature on South Africa is then assessed against this framework.

Suggested Citation

  • Fedderke, Johannes & Garlick, Robert, 2008. "Infrastructure Development and Economic Growth in South Africa: A Review of the Accumulated Evidence," MPRA Paper 125288, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:125288
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    File URL: https://mpra.ub.uni-muenchen.de/125288/1/MPRA_paper_125288.pdf
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    References listed on IDEAS

    as
    1. Ioannis N. Kessides, 2004. "Reforming Infrastructure : Privatization, Regulation, and Competition," World Bank Publications - Books, The World Bank Group, number 13525, April.
    2. Bogetic, Zeljko & Fedderke, Johannes W., 2006. "Forecasting investment needs in South Africa's electricity and telecommunications sectors," Policy Research Working Paper Series 3829, The World Bank.
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    5. Fedderke, J. W. & de Kadt, R. H. J. & Luiz, J. M., 2001. "Indicators of political liberty, property rights and political instability in South Africa: 1935-97," International Review of Law and Economics, Elsevier, vol. 21(1), pages 103-134, March.
    6. J. Luis Guasch, 2004. "Granting and Renegotiating Infrastructure Concessions : Doing it Right," World Bank Publications - Books, The World Bank Group, number 15024, April.
    7. Robert E. Hall & Charles I. Jones, 1999. "Why do Some Countries Produce So Much More Output Per Worker than Others?," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 114(1), pages 83-116.
    8. Roger Noll, 1999. "The Economics and Politics of the Slowdown in Regulatory Reform," Books, American Enterprise Institute, number 53371, September.
    9. Martine Mariotti, 2002. "An Examination of the Impact of Economic Policy on Long‐Run Economic Growth:An Application of a VECM Structure to a Middle‐Income Context," South African Journal of Economics, Economic Society of South Africa, vol. 70(4), pages 320-337, March.
    10. Jan Willem Gunning & Paul Collier, 1999. "Explaining African Economic Performance," Journal of Economic Literature, American Economic Association, vol. 37(1), pages 64-111, March.
    11. żeljko Bogetić & Johannes W. Fedderke, 2006. "Forecasting Investment Needs In South Africa'S Electricity And Telecom Sectors," South African Journal of Economics, Economic Society of South Africa, vol. 74(3), pages 557-574, September.
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    Cited by:

    1. Fatima Jili & Sanele Gumede, 2024. "The relationship between transport infrastructure and output growth in rural nodal municipalities within South Africa," International Journal of Research in Business and Social Science (2147-4478), Center for the Strategic Studies in Business and Finance, vol. 13(6), pages 138-147, September.

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    More about this item

    Keywords

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    JEL classification:

    • O18 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Urban, Rural, Regional, and Transportation Analysis; Housing; Infrastructure
    • O20 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - General
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence

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