Details

Autor(en) / Beteiligte

• Gnade, Henk
• Blaauw, Phillip Frederick
• Greyling, Talita

Titel

The impact of basic and social infrastructure investment on South African economic growth and development

Ist Teil von

• Development southern Africa (Sandton, South Africa), 2017-05, Vol.34 (3), p.347-364

Ort / Verlag

Routledge

Erscheinungsjahr

2017

Link zum Volltext

Quelle

Taylor & Francis Journals Auto-Holdings Collection

Beschreibungen/Notizen

• Basic and social infrastructure investment can assist in addressing widespread inequality and divided societies by promoting economic growth and social development. The aim of this study is to determine whether basic and social infrastructure investment differently affect economic growth and social development indicators of urban and rural municipalities. We used a balanced panel dataset containing infrastructure, economic, demographic and social indicators for rural and urban municipalities for the period from 1996 to 2012. Principal component analysis was used to construct synthetic indices of basic and social infrastructure. Restricted within least squares dummy variable estimation techniques are used to evaluate the differences between urban and rural municipalities. The elasticities of basic and social infrastructure investment generally are more pronounced for economic growth and social development indicators in rural municipalities. These findings could potentially influence policy decisions in terms of infrastructure investment in favour of rural municipalities to increase economic growth and social development.