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- W1560810040 abstract "This paper analyses the e?ects on employment of increasing the stock of public capital. To this end, we derive a wage equation so that wages are endogenized. This allows us to show that, by means of a higher elasticity of labour demand with respect to wages, a rise in public capital increases employment. The estimation of a structural model for the Spanish private sector tests and con?rms empirically this relationship. The results show that an increase in public capital has a signi?cant and positive direct in- ?uence on employment, and indirect e?ects derived from lower wages and higher economic growth. Finally, we undertake a simulation exercise to assess the long run e?ects on employment and economic growth of increasing public capital." @default.
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- W1560810040 date "2002-02-01" @default.
- W1560810040 modified "2023-09-27" @default.
- W1560810040 title "Employment and Public Capital in Spain" @default.
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