HIGHWAYS IN PUBLIC PRIVATE PARTNERSHIP AND ECONOMIC GROWTH IN DEVELOPING COUNTRIES

Abstract

In this article, we seek to analyze the inter-relationship between highway infrastructure in publicprivate partnership, the investments devoted to achieve it and the economic growth of a panel of 28 developing countries from 1994-2017. To this end, we used the fixed-effect panel data method to successively estimate two regression models. Consequently, our results first validated the significant and positive contribution of the investments on economic growth (elasticity 0.07%). Then, they highlight the positive and significant impact of these highways on the investments. Finally, despite their ability to generate positive externalities, these highways do not have a significant impact on economic growth.