Theoretical and Applied Economics
No. 4 / 2021 (629), Winter
The impact of government spending on the economic growth of a sample of developing countries using panel data
University of Ali Lounici Blida 2, Algeria
Abstract. The following study aims to study the impact of government spending on economic growth for the period (2005-2019) using panel data on a sample of (15) developing countries. The Pooled Mean Group Estimator (PMG) method was used to estimate the study model. The results of which showed in the short and long run the existence of a significant and direct relationship between government spending and economic growth in the countries under study. This is consistent with most of the previous studies and the Keynesian theory, which indicate that government spending is one of the components of effective aggregate demand, which is positively reflected on the gross domestic product through its ability to create new individual incomes, and thus a rise in the productivity and consumption of economic agents.
Contents
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Revealing the effects of competitiveness and innovation on economic growth: Evidence from European leading and following countries
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Application of single Sharpe index on the optimal portfolio construction using Indian blue-chip stocks
Budget policy, economic cycle and debt in the West African Economic and Monetary Union (WAEMU) countries: Empirical evidence based on a regime change model
The impact of government spending on the economic growth of a sample of developing countries using panel data
The evolution of consumer prices – the main brake on economic growth
Analysis of income inequalities in the pre-pandemic COVID-19 period