Gemmell, Norman
[Verfasser:in]
;
Kneller, Richard
[Sonstige Person, Familie und Körperschaft];
Sanz, Ismael
[Sonstige Person, Familie und Körperschaft]
Does the Composition of Government Expenditure Matter for Long-Run GDP Levels?
Erschienen in:Victoria University of Wellington Public Finance Working Paper ; No. 10
Umfang:
1 Online-Ressource (40 p)
Sprache:
Englisch
DOI:
10.2139/ssrn.2484917
Identifikator:
Entstehung:
Anmerkungen:
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments August 1, 2014 erstellt
Beschreibung:
We examine the long-run GDP impacts of changes in total government expenditure and in the shares of different spending categories for a sample of OECD countries since the 1970s, taking account of methods of financing expenditure changes and possible endogenous relationships. We provide more systematic empirical evidence than available hitherto for OECD countries. Our results provide strong evidence that reallocating total spending towards infrastructure and education would be positive for long-run income levels. Increasing the share of social welfare spending (and away from all others pro-rata) may be associated with, at most, modestly lower long-run GDP levels