Abstract:The fiscal deficit soared tremendously after Nepal endorsed economic liberalization aftermath of the 1990s democracy. The purpose of the paper is to investigate the effects of fiscal deficit in the economic growth of Nepal. Data from 1980 to 2019 were used to estimate the short- and long-run causal relations of fiscal deficit proxied by total government expenditure minus total government revenue as a percent of gross domestic product (GDP) and growth rate of real GDP as a proxy of economic growth along with ot… Show more
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