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Infrastructure, value chains, and economic upgrades

Author

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  • Luo,Xubei
  • Xu,Xuejiao

Abstract

Infrastructure development is critical to delivering growth, reducing poverty, and addressing broader development goals. This paper surveys the literature on the linkages between infrastructure investment and economic growth, discusses the role of infrastructure in participation in global value chains and supporting economic upgrades, highlights the challenges that the least developed countries face, and provides policy recommendations. It suggests that addressing the bottlenecks in infrastructure is a necessary condition to provide a window of opportunity for an economy to develop following its comparative advantage. With the right conditions, good infrastructure can support an economy, particularly a less developed economy, to reap the benefits of participation in global value chains to upgrade the economic structure.

Suggested Citation

  • Luo,Xubei & Xu,Xuejiao, 2018. "Infrastructure, value chains, and economic upgrades," Policy Research Working Paper Series 8547, The World Bank.
    • Handle: RePEc:wbk:wbrwps:8547
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    File URL: http://documents.worldbank.org/curated/en/698191534165164781/pdf/WPS8547.pdf
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    Citations

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    Cited by:

    1. Weldegiorgis, Fitsum S. & Dietsche, Evelyn & Franks, Daniel M., 2021. "Building mining's economic linkages: A critical review of local content policy theory," Resources Policy, Elsevier, vol. 74(C).
    2. Takpara, Moukaila Mouzamilou & Fouopi Djiogap, Constant & Sawadogo, Bouraima, 2022. "Trade Policy and African Participation in Global Value Chains: Does Trade Facilitation Matter?," Conference papers 333499, Purdue University, Center for Global Trade Analysis, Global Trade Analysis Project.
    3. Eric Mokwaro Bosire, 2023. "Viewpoints in Global Value Chains: Evidence from Sub-Saharan Africa," International Journal of Economics and Financial Issues, Econjournals, vol. 13(1), pages 13-28, January.

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