Will politics lead to over-building or under-building of transportation projects? In this paper, we develop a model of infrastructure policy in which politicians overdo things that have hidden costs and underperform tasks whose costs voters readily perceive. Consequently, national funding of...

This Round Table examines the impact of infrastructure investment on economic development for several cases: the A7 Lyons-Bollene section in France, the situation in general in Belgium, a motorway in the UK, and a railway line investment in Yugoslavia.