Is government capital productive? Evidence from panel of seven countries

The productivity of government capital was examined by analyzing a Cobb-Douglas production function incorporating economic data from the US, the UK, Belgium, Canada, Finland, Germany and Greece from 1963 to 1988. Governments have justified increases in infrastructure spending due to the alleged productivity of government capital. It was discovered that government capital may result in substantial productivity only if the time factors in productivity growth are generalized, implying that government capital is unproductive.