The effects of public spending composition on firm productivity

This paper exploits the unique institutional features of South Africa to estimate the impact of provincial public spending on firm productivity. In contrast to existing microeconomic evidence, we explore the effects of fiscal expenditures and remove the effects of revenue raising policies. Our ident...

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Main Authors: Kneller, Richard, Misch, Florian
Format: Article
Published: Wiley 2014
Subjects:
Online Access:https://eprints.nottingham.ac.uk/29429/
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author Kneller, Richard
Misch, Florian
author_facet Kneller, Richard
Misch, Florian
author_sort Kneller, Richard
building Nottingham Research Data Repository
collection Online Access
description This paper exploits the unique institutional features of South Africa to estimate the impact of provincial public spending on firm productivity. In contrast to existing microeconomic evidence, we explore the effects of fiscal expenditures and remove the effects of revenue raising policies. Our identification strategy is based on differences in the effects of public spending across firms within the same industry and province. We show that public spending composition affects productivity depending on the capital intensity of firms, with less capital intensive firms being particularly affected. These effects appear to be robust.
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spelling nottingham-294292020-05-04T16:47:38Z https://eprints.nottingham.ac.uk/29429/ The effects of public spending composition on firm productivity Kneller, Richard Misch, Florian This paper exploits the unique institutional features of South Africa to estimate the impact of provincial public spending on firm productivity. In contrast to existing microeconomic evidence, we explore the effects of fiscal expenditures and remove the effects of revenue raising policies. Our identification strategy is based on differences in the effects of public spending across firms within the same industry and province. We show that public spending composition affects productivity depending on the capital intensity of firms, with less capital intensive firms being particularly affected. These effects appear to be robust. Wiley 2014-05-26 Article PeerReviewed Kneller, Richard and Misch, Florian (2014) The effects of public spending composition on firm productivity. Economic Inquiry, 52 (4). pp. 1525-1542. ISSN 1465-7295 Public Spending Composition Productive Public Spending Firm Productivity http://onlinelibrary.wiley.com/doi/10.1111/ecin.12092/full doi:10.1111/ecin.12092 doi:10.1111/ecin.12092
spellingShingle Public Spending Composition
Productive Public Spending
Firm Productivity
Kneller, Richard
Misch, Florian
The effects of public spending composition on firm productivity
title The effects of public spending composition on firm productivity
title_full The effects of public spending composition on firm productivity
title_fullStr The effects of public spending composition on firm productivity
title_full_unstemmed The effects of public spending composition on firm productivity
title_short The effects of public spending composition on firm productivity
title_sort effects of public spending composition on firm productivity
topic Public Spending Composition
Productive Public Spending
Firm Productivity
url https://eprints.nottingham.ac.uk/29429/
https://eprints.nottingham.ac.uk/29429/
https://eprints.nottingham.ac.uk/29429/