The purpose of this paper is to quantify the relationship between public and private investment during the period 1991-2004. The results indicate the existence of strength complementarity's relationship between both type of investments, both for Brazil and its States, with the estimative ranging between (0,740) and (1,135). Only for the states of Alagoas, Goiás, Mato Grosso, Pernambuco and Sergipe the elasticity are relatively low, ranging from (0,447) to (0,668).
Public investment; Private investment; Panel data models
