Does private investment in roads generate economic growth in brazil?

Transport infrastructure is an important driver of growth and economic and social development in any country. In this sense, this article measured and analyzed the relationship between private investments and economic growth for Bahia, Pernambuco, Espirito Santo, Minas Gerais, Rio de Janeiro, Sao Paulo, Parana and Santa Catarina, from 2012 to 2018, considering that road transport is the most used in Brazil. For that, a panel data model was applied. From the analysis of the estimated results, it was identified that the investment variables lagged in a period, extension of nonfederal highways (state, transitory and municipal) and general assessment of highways were statistically mandatory to explain the economic growth of the states contingent. The extent of federal highways within the states was not statistically significant. It was concluded that private investment in the analyzed period may have been insufficient to generate economic growth in the states. Thus, the participation of the federal government in promoting a greater volume of investments and with higher quality may be appropriate to the conditions of the road network in the country, which is essential to generate economic growth.