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Is the composition of public expenditures converging in EMU countries?

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Author Info

  • Jesus Ferreiro
  • M. Teresa Garcia-Del-Valle
  • Carmen Gomez

Abstract

The literature on fiscal policy is paying increasing attention to the impact of the composition of public expenditures on long-term economic growth. Public policy endogenous growth models recommend to change the composition of public expenditures to items considered as productive expenditures. Based on these models, European institutions are encouraging to increase the share of outlays, such as public investments, research and development, active labor market policies, and so on. This paper analyzes whether a convergence to a new pattern of public finances with a higher share of productive expenditures is arising in the euro zone.

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File URL: http://mesharpe.metapress.com/link.asp?target=contribution&id=V03J1500R50H6646
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Bibliographic Info

Article provided by M.E. Sharpe, Inc. in its journal Journal of Post Keynesian Economics.

Volume (Year): 31 (2009)
Issue (Month): 3 (April)
Pages: 459-484

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Handle: RePEc:mes:postke:v:31:y:2009:i:3:p:459-484

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Web page: http://mesharpe.metapress.com/link.asp?target=journal&id=109348

Related research

Keywords: European Monetary Union; productive public expenditures; public expenditures; quality of public finances;

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Cited by:
  1. Elina De Simone & Giuseppe Lucio Gaeta & Salvatore Ercolano, 2012. "Exploring Public Social Expenditure Trends in the Globalization Era," European Research Studies Journal, European Research Studies Journal, vol. 0(1), pages 23-42.

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