Public capital and imperfect competition

• 成果类型: Article
• 署名作者: Coto-Martínez, J
• 署名单位: City St Georges, University of London; University of Greenwich
• 刊物名称: JOURNAL OF PUBLIC ECONOMICS
• ISSN/ISSBN: 0047-2727
• DOI: 10.1016/j.jpubeco.2004.10.004
• 发表日期: 2006
• 页码: 349-378
• 关键词: Fiscal policy; public capital; imperfect competition

摘要

In this paper we consider a macroeconomic model in which public capital is a productive input and there is monopolistic competition in the product market. We analyze the effects of a permanent variation in public capital investment both in the short and in the long run. Finally, we show that the optimal provision of public capital under imperfect competition is higher than that associated with the first-best policy. (c) 2004 Elsevier B.V. All rights reserved.