This book, co-authored by the Nobel-prized economist, Kenneth Arrow, considers public expenditures in the context of modern growth theory. It analyzes optimal growth with public capital. A theory of 'controllability' is developed and injected into public economics and growth models. First Published in 2011. Routledge is an imprint of Taylor & Francis, an informa company.

Arrow, Kenneth J.; Kruz, Mordecai

Chapter 1 Basic Concepts for the Theory of Public Investment; Chapter 2 Methods of Optimization over Time; Chapter 3 Optimal Investment Planning in a One-Commodity Model; Chapter 4 Optimal Investment in a Two-Sector Model; Chapter 5 Objectives, Markets, and Public Instruments; Chapter 6 Optimal Policy and Controllability with Imperfect Capital Markets; Chapter 7 Consumer Behavior in a Perfect Market; Chapter 8 Controllability of Public Policy in Perfect Capital Markets;