Public Investment and Private Sector Growth

Public Investment and Private Sector Growth
Title Public Investment and Private Sector Growth PDF eBook
Author David Alan Aschauer
Publisher
Pages 44
Release 1990
Genre Business & Economics
ISBN

Download Public Investment and Private Sector Growth Book in PDF, Epub and Kindle

This report demonstrates the importance of public investment in physical infrastructure (roads, bridges, mass transit, electric power, sewers, etc.) to the stimulation of private sector productivity, profitability, and investment. Specifically, the report argues that the slow-down in spending for infrastructure over the past 25 years has been a major cause of the U.S. economy's poor performance since 1970.

Private Investment and Economic Growth in Developing Countries

Private Investment and Economic Growth in Developing Countries
Title Private Investment and Economic Growth in Developing Countries PDF eBook
Author International Monetary Fund
Publisher International Monetary Fund
Pages 20
Release 1989-07-26
Genre Business & Economics
ISBN 1451965249

Download Private Investment and Economic Growth in Developing Countries Book in PDF, Epub and Kindle

Despite the growing support for market-oriented strategies, and for a greater role of private investment, empirical growth models for developing countries typically make no distinction between the private and public components of investment. This paper sheds some light on this important issue by formulating a simple growth model that separates the effects of public sector and private sector investment. This model is estimated for a cross - section sample of 24 developing countries, and the results support the notion that private investment has a larger direct effect on growth than does public investment.

Public Investment Criteria

Public Investment Criteria
Title Public Investment Criteria PDF eBook
Author Stephen A. Marglin
Publisher
Pages 104
Release 1967
Genre Capital investments
ISBN

Download Public Investment Criteria Book in PDF, Epub and Kindle

Essay on public investment criteria and the role of cost benefit analysis in the implementation of economic planning for economic development in India - criteria include consumption benefits, costs, time factor, interest, budgetary constraints, risk and dynamics. References pp. 100 and 101.

The Power of Public Investment Management

The Power of Public Investment Management
Title The Power of Public Investment Management PDF eBook
Author Kai Kaiser
Publisher World Bank Publications
Pages 203
Release 2014-10-17
Genre Business & Economics
ISBN 1464803161

Download The Power of Public Investment Management Book in PDF, Epub and Kindle

Public resources--if invested well in public infrastructure and services--can catalyze private and community e orts and unleash an inclusive growth and development process. But too often public projects are selectedto support political patronage, poorly designed, underfunded, long delayed, very costly, or badly implemented, with little bene t to the population. This is a critical challenge for many countries, both rich and poor. This book identi es eight key institutional features that countries need to adopt to ensure that public investments support growth and development. The Power of Public Investment Management provides a clear, nontechnical discussion on approaches to improving project appraisal, disciplining political intervention in project selection, dealing with uncertainty (an issue that is likely to grow in importance with the e ects of climate change), integrating procurement skills into project design and implementation, and managing the decision on public-private partnerships. Byproviding a simple but comprehensive framework and global experience, the book provides policy makers the guidance to adopt good functional principles in the design of institutions to strengthen public investment management.

Successful Transitions from Public to Private-Sector Led Growth: Lessons for Benin

Successful Transitions from Public to Private-Sector Led Growth: Lessons for Benin
Title Successful Transitions from Public to Private-Sector Led Growth: Lessons for Benin PDF eBook
Author Aissatou Diallo
Publisher International Monetary Fund
Pages 28
Release 2021-12-03
Genre Business & Economics
ISBN 1589068548

Download Successful Transitions from Public to Private-Sector Led Growth: Lessons for Benin Book in PDF, Epub and Kindle

Many Sub-Saharan African (SSA) countries, like Benin, have scaled up public investment during the last decade. Such a strategy contributed to the improvement of infrastructure, but also to a build-up of debt vulnerabilities. Looking forward, the planned fiscal consolidation will result in some restraint of public spending, and, in particular, public investment. In this context, maintaining or even raising the region’s economic growth will require an offset by the private sector. The analysis draws lessons from countries that have successfully transitioned from public investment to private investment-led growth using a global sample starting in the mid-1980s. These lessons highlight policies that have been crucial in fostering a rebound of private investment in the wake of a contraction of public investment. The analytical framework proposed by Hausman, Rodrik and Velasco (2005) is used to identify and classify such policies. Finally, the paper analyses how the identified policies could help Benin achieving a smooth transition from public to private sector-led growth.

Public Investment as an Engine of Growth

Public Investment as an Engine of Growth
Title Public Investment as an Engine of Growth PDF eBook
Author Mr.Andrew M. Warner
Publisher International Monetary Fund
Pages 76
Release 2014-08-11
Genre Business & Economics
ISBN 1498378277

Download Public Investment as an Engine of Growth Book in PDF, Epub and Kindle

This paper looks at the empirical record whether big infrastructure and public capital drives have succeeded in accelerating economic growth in low-income countries. It looks at big long-lasting drives in public capital spending, as these were arguably clear and exogenous policy decisions. On average the evidence shows only a weak positive association between investment spending and growth and only in the same year, as lagged impacts are not significant. Furthermore, there is little evidence of long term positive impacts. Some individual countries may be exceptions to this general result, as for example Ethiopia in recent years, as high public investment has coincided with high GDP growth, but it is probably too early to draw definitive conclusions. The fact that the positive association is largely instantaneous argues for the importance of either reverse causality, as capital spending tends to be cut in slumps and increased in booms, or Keynesian demand effects, as spending boosts output in the short run. It argues against the importance of long term productivity effects, as these are triggered by the completed investments (which take several years) and not by the mere spending on the investments. In fact a slump in growth rather than a boom has followed many public capital drives of the past. Case studies indicate that public investment drives tend eventually to be financed by borrowing and have been plagued by poor analytics at the time investment projects were chosen, incentive problems and interest-group-infested investment choices. These observations suggest that the current public investment drives will be more likely to succeed if governments do not behave as in the past, and instead take analytical issues seriously and safeguard their decision process against interests that distort public investment decisions.

Trends in Private Investment in Developing Countries

Trends in Private Investment in Developing Countries
Title Trends in Private Investment in Developing Countries PDF eBook
Author Lawrence Bouton
Publisher World Bank Publications
Pages 64
Release 2000
Genre Business & Economics
ISBN 9780821347850

Download Trends in Private Investment in Developing Countries Book in PDF, Epub and Kindle

This discussion paper examines in its first part, the role of private investment in economic growth. While theoretical growth models developed in the economics literature, make no distinction between private, and public components of investment, there is an emerging appreciation that private investment is more efficient, and productive tan public investment. Results from the recent empirical literature, updated here with the recent data on private investment, suggest that private investment has a stronger association with long run economic growth than public investment. The second part shows trends in private, and public fixed investment in fifty developing countries. On average, the ratio of private investment to GDP continued its upward trend, reaching record levels in 1998, the most recent year for which comparable data exist. That year, average private investment reached 14.3 percent of GDP, but public investment, fell to only 7.0 percent of GDP, its lowest level since 1974.