In this paper we find that public investment in durable goods has a positive effect on long-term economic performance in Portugal. We also find that these positive effects are not strong enough for public investment to pay for itself in the form of future tax revenues. Therefore, cuts in public...

Purpose – The purpose of this paper is to explain how eventual pressures from national lobbies may lead governments to shift from an optimal into a non-optimal innovation policy. Design/methodology/approach – A theoretical model is developed in order to examine and explain the growth and...

Using an extensive dataset covering all Portuguese local governments (308), this paper analyzes the determinants of municipal deficits and debt. The results clearly indicate the existence of a political budget cycle, but there is no evidence that fiscal policy is used strategically to condition...

Portugal holds the dubious distinction of being among the so-called PIGS countries, the sub-set of Euro zone nations bedeviled by large public sector debt and deficits. In this paper, we try to explain why Portugal has fallen into its current predicament using concepts from the Austrian...

We posit that sound, growth-promoting economic policy is more likely to be formulated when major political players have incentives to cooperate. Using Portugal as an arena to test this theory, we provide an in depth analysis of its policymaking environment, finding that Portuguese institutional...

O presente artigo condensa um pacote de medidas políticas anticrise conducentes a operar uma profunda modificação das estruturas sociais, económicas e financeiras portuguesas, nos domínios da pobreza e do desemprego. This paper condenses a package of anti crisis measures that leading to...

O presente artigo analisa o impacto da economia na popularidade dos governantes e nas intenções de voto dos portugueses. Os resultados das estimações realizadas revelam que: (1) os eleitores portugueses responsabilizam os governantes pela evolução da economia, em particular pelo...

We decompose an annual average years of schooling series for Portugal into different schooling levels series. By estimating a number of vector autoregressions, we provide measures of aggregate and disaggregate economic growth impacts of different education levels. Increasing education at all...