Place-based public investment in regional infrastructure, the locational choice of firms and regional performance: The case of India

Nicholas Vasilakos, Alkis Theonas Pitelis, Nick Horsewood, Christos Pitelis

Research output: Contribution to journalArticlepeer-review


We discuss conceptual reasons for and propose public investment in regional infrastructure as a hybrid form of a place-based regional industrial policy aiming to foster the regional economic activity of lagging regions. We present and empirically test a baseline model using data for fourteen Indian regions/states over a period of 39 years. Our results show that place-based regional infrastructure investments, particularly in electricity generating capacity and width-adjusted length of national highways, positively impact the relative number of firms operating in a region and help foster its economic performance.
Original languageEnglish
JournalRegional Studies
Publication statusAccepted/In press - 25 Oct 2022

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