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Selected Works of Vicente German-Soto
Article
An Analysis of the Relationship between Infrastructure Investment and Economic Growth in Mexican Urban Areas, 1985-2008
Economics Bulletin (2017)
  • Vicente German-Soto, Universidad Autónoma de Coahuila
  • Luis Gutiérrez Flores, Universidad Autónoma de Coahuila
  • Héctor Barajas Bustillos, Universidad Autónoma de Ciudad Juárez
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Abstract
The relationship between infrastructure investment and economic growth in Mexican urban areas 1985-2008 is analyzed using several panel cointegration tests that control for heterogeneity and serial correlation. Data are found to be stationary in first differences but not levels. The long run cointegrated relationship between certain kinds of infrastructure measures such as water supply, a global infrastructure index, road infrastructure, vehicle density, highways, and a social infrastructure index combined with the finding of no relationship with other measures favors a policy of targeted infrastructure investments by both the private and public sectors.
Keywords
  • Economic growth,
  • infrastructure,
  • panel data,
  • Cointegration
Disciplines
Publication Date
September, 2017
Citation Information
German-Soto, V., Gutiérrez Flores, L. and Barajas Bustillos, H. A. 2017. “An Analysis of the Relationship between Infrastructure Investment and Economic Growth in Mexican Urban Areas, 1985-2000”, Economics Bulletin, 37(4): 2422-2433.