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Empirical Economics

, Volume 20, Issue 2, pp 351–359 | Cite as

Public capital stock and state productivity growth: Further evidence from an error components model

  • Badi H. Baltagi
  • Nat Pinnoi
Short Paper

Abstract

The contribution of different types of public infrastructure on private production is investigated using time-series of cross-section data for the 48 contiguous states over the period 1970–1986. A Cobb-Douglas production function is estimated with unobserved state-specific effects. Measurement errors in public capital stock and its components are detected and rectified.

JEL Classification System-Numbers

C23 

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Copyright information

© Physica-Verlag 1995

Authors and Affiliations

  • Badi H. Baltagi
    • 1
  • Nat Pinnoi
    • 1
  1. 1.Department of EconomicsTexas A&M UniversityCollege StationUSA

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