Bougheas, Spiros; Demetriades, Panicos O.; Mamuneas, … - In: Canadian Journal of Economics 33 (2000) 2, pp. 506-522
We introduce infrastructure as a cost-reducing technology in Romer's (1987) model of endogenous growth. We show that infrastructure can promote specialization and long-run growth, even though its effect on the latter is non-monotonic, reflecting its resource costs. We provide evidence using data...