Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/44797 
Year of Publication: 
2000
Citation: 
[Journal:] EIB Papers [ISSN:] 0257-7755 [Volume:] 5 [Issue:] 2 [Publisher:] European Investment Bank (EIB) [Place:] Luxembourg [Year:] 2000 [Pages:] 81-106
Publisher: 
European Investment Bank (EIB), Luxembourg
Abstract: 
Economists agree at least on this: it is difficult to find evidence for, or merely to imagine any growth mechanism that does not work through the increase of a stock of capital in one way or another. From a more policy point of view - in particular in terms of the debate of economic development and convergence in standards of living - an important question then is when spending on investment is best done by the government itself, and when public funds should be used to support investment by the private sector. A key concept in this issue is the degree of external benefits, or spillovers, of investment. These notions refer to the fact that sometimes a certain action by an economic agent results indirectly in productivity gains for others that cannot be completely captured by the principal investor in his price setting behaviour.
Document Type: 
Article

Files in This Item:
File
Size
236.78 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.