ANALYZING THE IMPACT OF PUBLIC CAPITAL STOCK USING THE NEG WAGE EQUATION: A SPATIAL PANEL DATA APPROACH

This paper examines the relationship between the level of public infrastructure and the level of productivity using panel data for the Spanish provinces over the period 1985–2004, a period that is particularly relevant due to the substantial changes occurring in the Spanish economy at that time. The underlying model used for the data analysis is based on the wage equation, which is one of a handful of simultaneous equations which when satisfied...