Physical Infrastructure and Economic Growth in El Paso.

Prior research on the impacts of public capital stocks on economic growth has generally used either national macroeconomic or multijurisdictional regional data. This study attempts to contribute to this area of the discipline by using time series data for a single metropolitan economy. To allow for both short-run and long-run effects, an error-correction modeling framework is used for the empirical analysis. Because comprehensive public infrastructure stocks are not published for El Paso, Texas, estimates for those variables are calculated using information regarding annual public capital investment data. Estimation results indicate that physical infrastructure investment may disrupt short-run economic growth but does improve long-run metropolitan economic performance. [ABSTRACT FROM AUTHOR]