Infrastructures and regional productivity gaps in Italy: a review of empirical studies and policy indications

The goal of this work is to present a review of empirical studies that measure the impact of infrastructures on the productivity of the private sector of the Italian economy at the regional level. In summary, this new review of empirical studies shows that: a) productivity growth is significantly conditioned by the core infrastructure (roads, highways, airports, railways, inland waterways and public transport); b) Public spending does not quickly turn into finished works due to the slowness of bureaucratic procedures. The political indications are: the government must rapidly spend European funding for infrastructure, to reduce the opportunity costs due to the lack of development, in particular, of southern Italy. Current public procurement laws slow down bureaucratic processes. An immediate structural reform of the legislation relating to the construction of public works in Italy is needed.