This study examines the link between government expenditure and regional economic growth, over the period 2013 to 2017. Gross County Product per capita growth is used as indicator of regional economic growth. This study used Error Correction Model and Engle and Granger framework two step...

The goal of this research was to investigate empirically how government expenditure contributes to economic growth in East Africa. Most existing studies examining the relationship between expenditure and economic growth show conflicting results and mainly focus on aggregate expenditure. Hence...

South Africa is a developing country faced with diverse challenges like high unemployment, poverty, inequality and low economic growth. In an attempt to address these issues, government can embark on borrowing and incur public debt. Countries that run large persistent public debt signal negative...

This paper compares the effects of government consumption and government debt on economic growth by using data from 83 countries, including both developed and developing markets, over the period between 1960 and 2014. Linear regressions reveal that the negative effects of government consumption...

In this paper, we compare growth and welfare effects of various budget rules within an endogenous growth model with productive public capital, utility enhancing public consumption and public debt. We find that a fixed deficit regime does not affect the long run growth rate compared to a balanced...

Consecutive years of primary deficits have led to mounting public debt of almost 50% of GDP, one of the fastest increases in Latin America over the last decade. Government attempts to restore fiscal health have been undermined by a gridlocked Congress. While only minor reforms have been enacted...

This paper presents a brief overview of the extant fiscal situation in South Asian countries. In particular, I emphasize low tax/GDP ratios and inelastic expenditure/GDP ratios which then lead to structurally entrenched fiscal deficits. The paper also reports on the sustainability of fiscal and...

Trade-offs between policies that promote economic growth and redistribute wealth are discussed extensively in the literature, both from a public finance perspective and from a macroeconomic angle. In fact, social safety nets are sometimes perceived by government in developing countries as a...

There is a widespread belief that fiscal decentralization is an effective tool for increasing the efficiency of public expenditures. Decentralization is expected to boost accountability and transparency in the provision of public goods for the well-being of the society. However, countervailing...