Government Public Investment Dynamic Multiplier Effects: An Empirical Analysis for Spain

Pérez-Montiel, Jose

doi:10.2139/ssrn.3634081

Cited by 3 publications

(3 citation statements)

References 0 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Thus, this expansionary high volume public expenditure is being a re-bouncing threat to macro-economic stability and economic growth. However, its multiplier effect on GDP measures the efficiency of public expenditure ( Batini, Eyraud, Forni, & Weber, 2014;Blanchard & Leigh, 2013,Garry & Rivas Valdivia, 2017Hamer-Adams & Wong, 2018;Jain & Kumar, 2013;Perez-Montiel, 2020;Naqvi, Iftikhar, & Ali, 2019;Ramey, & Zubairy, 2018;Restrepo, 2020).…”

Section: Nj: Nutamentioning

confidence: 99%

Analysis of Public Expenditure Policy Regime and Its Relationship with Economic Growth over Different Political Regimes of Nepal

Bista

Khatri

2022

NUTA Jnl

View full text Add to dashboard Cite

This study analyzes trend and pattern of public expenditure and relationship with economic growth in Nepal by using descriptive, trend, ratio and correlation method based on secondary data from 1975 to 2019. As a result, a trend of recurrent expenditure (RE) is inclining with positive growth, a trend of government expenditure (GE) is also inclining. However, it is different in case of capital expenditure (CE) because of consistent trend. Recurrent expenditure is unnecessarily expansionary but capital expenditure is unnecessarily contractionary. Recurrent expenditure (RE) is positively correlated with Government expenditure (GE) and capital expenditure (CE) is negatively correlated with Government expenditure (GE). It shows the expansionary budgetary policy doesn’t influence on CE but can be seen in GE and RE. Lastly, the annual positive change of regular expenditure in the share of public expenditure is higher than in the share of GDP. Whereas, the annual negative change of capital expenditure in the share of public expenditure is higher than in the share of GDP. Thus, uncontrolled expansionary regular expenditure and unnecessarily contractionary capital expenditure are big issues to macro-economic stability and higher economic growth of Nepal. This paper is expected to contribute to understand public expenditure and its linkage with economic growth and to formulate public expenditure framework.

show abstract

Section: Nj: Nutamentioning

confidence: 99%

Analysis of Public Expenditure Policy Regime and Its Relationship with Economic Growth over Different Political Regimes of Nepal

Bista

Khatri

2022

NUTA Jnl

View full text Add to dashboard Cite

show abstract

Section: Nj: Nutamentioning

confidence: 99%

Impact of Solid Waste Management on Environment (An Overview of Shahidnagar Municipality, Dhanusha, Nepal)

Gautam

2022

NUTA Jnl

View full text Add to dashboard Cite

This paper focused on current practice, awareness, and impact of solid waste management on environment, in Shahidnagar Municipality of Dhanusha district. Due to lack of proper baseline information, lack of understanding of public willingness and lack of proper fitting and doable planning, waste collection, disposal and recycling have been problematic in study area. Solid waste management has been emerged as a major challenge as they don’t have any proper landfill site and waste collection facility. The study mainly designed in an exploratory and descriptive framework as it attempts to explore, investigate, and describe the relation between socioeconomic condition and SWM (solid waste management) issues with special emphasis on current practice and impact on environment. Many factors are seen affecting solid waste management system like institutional factor, social factor, economical factor, technical factor, and environmental factor. So, the study recommends concerned stakeholders to prepare an appropriate plan to manage solid wastages. Reduce, reuse, and recycle concept should be promoted to generate income through wastage. Awareness activity, public-private partnership should be raised to stop current poor practices of solid waste management.

show abstract

“…In this context, Haavelmo (1945) argues for public spending with a multiplier as a remedy for unemployment and a driver of redistribution income in society. Pérez-Montiel (2020) broadens Haavelmo (1945) narrow concept by discussing the dynamic multiplier of public investment and its effect on output levels. In Pérez-Montiel's (2020) estimation of government public investment dynamic multiplier effects, an empirical analysis for Spain from 1980-2016 found a positive and permanent effect on the level of GDP from the growth of the public investment.…”

Section: Introductionmentioning

confidence: 99%

Assessing Multiplier Effects of Public Expenditures on Economic Growth in Nepal: SVAR Model Analysis

Bista

Sankhi²

2022

J. Econ. Impact

View full text Add to dashboard Cite

Expansionary public expenditure is a popular important fiscal measure in the constraint of budgetary resources to achieve higher economic growth with the expectation of higher multiplier effect on productive sectors in the world. Since the actual multiplier effect contradicts with the expected multiplier effect in this discretionary fiscal practice, the goal of higher economic growth is not well achieved. In this context, the practice of public expenditure is a key concern of scholars to understand whether it is the best one or whether its multiplier effect is higher. In this context, this study is an important attempt. This paper assesses the multiplier effects of public expenditures on economic growth in Nepal, covering time series data sets of public expenditures and economic growth from 1974-75 to 2018-19 by using the structural vector auto-regressive (SVAR) model. As a result of the SVAR model, the multiplier effect of public expenditure, recurrent expenditure, and capital expenditure is positive for economic growth. In the results, the multiplier effect of recurrent expenditure is found to be more promising than capital expenditure for economic growth in the short run, but in the long run, it is lower. Similarly, the multiplier coefficient value of capital expenditure is lower in the short run. This is probably due to leakages in the economy, corruption and improper management of development funds, seasonal expenditure trends, and poor management of development projects. Thus, public expenditure is an important fiscal measure to developing economy like Nepal to create a multiplier effect through aggregate demand on national income and employment. Therefore, the government should improve the efficiency of public expenditure and the ratio of capital expenditure and private investment to improve the higher multiplier variable in the long run. The result of this paper will be a valuable input to the policymaker and the planner of Nepal to improve the efficiency of public expenditure through the implementation of a mid-term expenditure framework.

show abstract

Government Public Investment Dynamic Multiplier Effects: An Empirical Analysis for Spain

Cited by 3 publications

References 0 publications

Analysis of Public Expenditure Policy Regime and Its Relationship with Economic Growth over Different Political Regimes of Nepal

Analysis of Public Expenditure Policy Regime and Its Relationship with Economic Growth over Different Political Regimes of Nepal

Impact of Solid Waste Management on Environment (An Overview of Shahidnagar Municipality, Dhanusha, Nepal)

Assessing Multiplier Effects of Public Expenditures on Economic Growth in Nepal: SVAR Model Analysis

Contact Info

Product

Resources

About