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Growth Effects of Fiscal Policies - A Comparative Analysis in a Multi-Country Context

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Author Info
Martijn Brons (Vrije Universiteit Amsterdam)
Henri L.F.M. de Groot () (Vrije Universiteit Amsterdam)
Peter Nijkamp () (Vrije Universiteit Amsterdam)

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Abstract

The potential interactions among fiscal policies, investments and economic growth are complex and manifold. In this paper, we will perform a systematic comparative analysis of the various economic insights that are currently available on these complex relationships, both theoretically (by a selective literature review) and empirically (by investigating available data from various countries). Despite the wide variety of potential theoretical relationships between government expenditures, taxation and growth, most empirical analyses are restricted to simple linear regressions of growth on some measure of government expenditures. Based on empirical experiments, we will indicate directions for future empirical research that may enrich our knowledge on the complex relationship between fiscal policies and economic growth, not only nationally but also regionally.

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Paper provided by Tinbergen Institute in its series Tinbergen Institute Discussion Papers with number 99-042/3.

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Date of creation: 08 Jun 1999
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Handle: RePEc:dgr:uvatin:19990042

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Related research
Keywords: fiscal policy government spending taxation economic growth comparative analysis

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Find related papers by JEL classification:
O11 - Economic Development, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
O23 - Economic Development, Technological Change, and Growth - - Development Planning and Policy - - - Fiscal and Monetary Policy in Development
O47 - Economic Development, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Measurement of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
O57 - Economic Development, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries

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Cited by:
(explanations, Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.)

  1. Maria Rosaria Alfano, 2005. "Tax Competition in EU implies EMTR different: some effects on FDI and Economic Growth Rate," Public Economics 0510015, EconWPA. [Downloadable!]
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