This study investigates the initial and long-run effects of public investment expenditure on economic growth, especially as compared with private investment. Annual data over 1970-90 for 48 developing countries form the basis of the empirical analysis. Our findings suggest that infrastructural...

The study is an empirical attempt to shed light on which categories of private fixed investment could be relied on to provide the greatest stimulus to economic growth. Panel data, comprising 5-year periodic data over the period 1965-90 pooled across 55 countries, are employed in estimating the...