Public capital and economic growth in the Central African Republic

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Verlag: Our Knowledge Publishing
Autor: Jimmy Robert Dikiyi
Artikel-Nr.: KNV96502620
ISBN: 9786206028741

The objective of this work is to highlight the relationship between public capital and economic... mehr

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The objective of this work is to highlight the relationship between public capital and economic growth in the Central African Republic (CAR). After developing the theoretical framework, we conducted an empirical analysis of the contribution of public capital to economic growth in CAR over the period 1980 to 2012, using econometric techniques related to time series. We used a Cobb-Douglas type function extended to the public investment rate as a proxy for public capital. Our results show a unidirectional link between public capital and economic growth and that public capital contributes significantly to GDP growth. However, this contribution remains relatively small.

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