Infrastructure, Economic Growth, and Poverty : A Review
How much an economy should invest in its physical infrastructure is a crucial question being asked by policy makers from developing countries where financial resources for economic development are limited. This paper aims to address this question b...
| Main Authors: | , , |
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| Format: | Working Paper |
| Language: | English |
| Published: |
World Bank, Washington, DC
2020
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| Subjects: | |
| Online Access: | http://documents.worldbank.org/curated/en/927361590594380798/Infrastructure-Economic-Growth-and-Poverty-A-Review http://hdl.handle.net/10986/33821 |
| Summary: | How much an economy should invest in its
physical infrastructure is a crucial question being asked by
policy makers from developing countries where financial
resources for economic development are limited. This paper
aims to address this question by bringing insights from the
literature that investigates the relationship between
infrastructure investment, economic growth, and poverty
alleviation. The study shows that there is no consensus
among the existing studies, which are mostly focused on
industrialized economies, on the relationship between public
investment and economic growth. Studies that investigate the
relationship between physical infrastructure and economic
growth mostly conclude that there exists a positive
relationship. This is also true between physical
infrastructure and income inequality, as reported by a few
studies. This study also identifies many gaps in the
literature and highlights the need for further studies to
narrow them. |
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