The article revisits the relationship between growth and public productive expenditures by investigating the growth impact of "new" public investment along with maintenance expenditures in public capital. We sketch out the importance of these components of public capital expenditures for growth...

In this paper we present an endogenous growth model with foreign transfers for public capital formation in order to analyze the implications for growth maximization when the public sector in recipient countries co-finances investment projects. Our main innovation is to show that, first, there is...