Measuring the Contribution of Public Infrastructure Capital in Sweden / Ernst R. Berndt, Bengt Hansson.

Format:

Book

Author/Creator:

Berndt, Ernst R.

Contributor:

National Bureau of Economic Research.

Hansson, Bengt.

Series:

Working Paper Series (National Bureau of Economic Research) no. w3842.

NBER working paper series no. w3842

Language:

English

Physical Description:

1 online resource: illustrations (black and white);

Place of Publication:

Cambridge, Mass. National Bureau of Economic Research 1991.

Summary:

Our purpose in this paper is to examine how one might evaluate and measure the contribution of public infrastructure capital on private sector output and productivity growth in Sweden. We do this by specifying and implementing empirically a number of alternative econometric models, using annual data for Sweden from 1960 to 1988. Using a dual cost function approach, we find that increases in public infrastructure capital, ceteris paribus, reduce private sector costs. We compute that amount of public infrastructure capital that would rationalize the cost savings incurred by the private business and manufacturing sectors, and find that the amount that can be rationalized in this manner is less than what was in fact available in 1988, but that the extent of excess public infrastructure capital has been falling in the 1980's.

Notes:

Print version record

September 1991.