This paper explores how civic capital shapes the relationship between government size and economic performance. Building on an exogenousgrowth version of Barro (1990), we incorporate O-ring technology to capture task complementarity in the public sector, highlighting the role of civic capital in...

We develop an endogenous growth model to simulate the long-term impact of Italy's National Recovery and Resilience Plan (NRRP) on the persistent North-South productivity gap. Our model underscores public investment as a catalyst for sustained economic growth and highlights the reliance of local...