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By Chris Dorrell As the Budget approaches it seems clear that the government is preparing to ramp up public investment. In interviews, Chancellor Rachel Reeves has pledged to “invest, invest, invest“, confirming that she will revise the fiscal rules to “take account of the benefits of investment, not just the costs”. Although its not exactly clear what the details will be, the direction of travel is clear and has been welcomed by many economists. So why is public investment so important and how will an increase impact the economy? What is public investment?To understand why economists think in…

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