Series: IMF Working Papers
Author(s): Andrew Berg , Edward Buffie , Catherine Pattillo , Rafael Portillo , Andrea Presbitero , and Luis-Felipe Zanna
Publisher: INTERNATIONAL MONETARY FUND
Publication Date: 23 December 2015
Keywords: Public investment, Growth, Efficiency, Low-Income Countries, capital, investment, production, Infrastructures, General, Institutions and Growth
We reconsider the macroeconomic implications of public investment efficiency, defined as the ratio between the actual increment to public capital and the amount spent. We show that, in a simple and standard model,...