The inequality of the inequality phenomenon globally shows that some governments have handled these market dynamics better than others and obtained much better outcomes. But today’s fiscal situation has reduced the size and, therefore, the significance of public investments. As budgets have been in deficit during the last two decades, the share and contribution of public investments to the economy have declined. More worrying is that these public investments have not induced private investments the way they had in the past. Not only has the public investment lever become smaller, its ability to influence private investments too, has diminished.
