Municipal Infrastructure Macroeconomic Impacts

Published: 2011 - PDF (0.19 MB)

Municipal Infrastructure Macroeconomic Impacts

This project measures the impact on the economy of additional spending on infrastructure. Estimates include “multiplier” effects that account for linkages from the construction industry to all others, and the extent to which additional wage and business incomes induce further spending. Included in this is an examination of the “fiscal offsets” to different orders of government of investment in local infrastructure.

In this respect, this project updates earlier studies for FCM and others, including the federal Treasury Board. As a new focus, this project considers the relative economic impacts of funding infrastructure investments from different revenue bases (e.g. income taxes, sales taxes, and property taxes).

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