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This study analyzes the role of public capital in regional economies and inter-regional economic disparity by means of a regional econometric model for Pakistan. The regional disparity measures show that a sizable disparity in per capita incomes and labor productivity continuously persists among the regions of Pakistan. The efficiency of public capital and private inputs has been analyzed by estimating regional production functions, and the results indicate that the public capital has been moredoi:10.4036/iis.2003.293 fatcat:3n6wcotssnfpdlpnfact42ansa