Authors : 1Md. Nesarul Karim , Muhammad Mahbubur Rahaman and 1Md.Hasmat Ali
Abstract: There is a widespread view that private investment is generally more efficient and productive than public investment. There has been no systematic testing of this hypothesis in case of Bangladesh. In the absence of any empirical evidence it is very difficult to argue that promotion of private sector initiatives and reduction in the role of the public sector in the area of investment would necessarily be beneficial to the overall growth of the economy of Bangladesh. The objective of this paper was to develop a simple growth model that allowed private and public sector investment to exert differential effects on GDP growth. The main finding of the study is that the private investment plays a much larger, and thus more important role in the growth process of Bangladesh.
1Md. Nesarul Karim , Muhammad Mahbubur Rahaman and 1Md.Hasmat Ali , 2005. Private Investment and Economic Growth in Bangladesh: An Empirical Investigation . Pakistan Journal of Social Sciences, 3: 152-156.