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The Joint Impact of Infrastructure and Institutions on Economic Growth. (2018). Walle, Yabibal ; Gimenez, Jose M ; Zergawu, Yitagesu Zewdu.
In: Working Papers.
RePEc:urv:wpaper:2072/332584.

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  1. Infrastructure Investment and Regional Economic Growth: Evidence from Yangtze River Economic Zone. (2021). Xu, Junzhuo ; Zhang, Ruilian ; Shi, Guoqing ; Wang, Jie.
    In: Land.
    RePEc:gam:jlands:v:10:y:2021:i:3:p:320-:d:520658.

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  2. Infrastructures physiques et croissance économique en Afrique de lOuest: Le rôle des institutions. (2021). Seck, Alioune Badara ; Diandy, Idrissa Yaya.
    In: African Development Review.
    RePEc:bla:afrdev:v:33:y:2021:i:1:p:154-165.

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References

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  34. Furthermore, Canning and Pedroni (2008) show that the proportion of investment going to infrastructure is τit “ τ̄ ` it where it is a zero mean stationary series. Accordingly, in the endogenous growth model, a positive shock to the infrastructure capital will increase income per capita when τ̄ ă τ˚ and income per capita will decrease when τ̄ ą τ˚ .6 The marginal cost of the increased infrastructure capital is the diversion of resources from other productive sectors, while the marginal benefit is the gain in the long-run income (Straub, 2011).
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  62. We consider that each firm uses all its capacity to appropriate as much rent as possible, which is dependent on the total amount of rent and the quality of institutions. When rit “ 0, it indicates the presence of high institutional quality, thereby an agent extracts less rent. On the contrary, when rit “ 1, institutional quality hits its lowest level, and hence, the marginal utility of rentseeking reaches its maximum (Nawaz et al., 2014). Thus, the level of rit determines the marginal productivity of infrastructural investment.
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