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Determinants of the Composition of Government Expenditure by Functions Author info | Abstract | Publisher info | Download info | Related research | Statistics Ismael Sanz
Francisco Javier Velázquez
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In this article we analyze the determinants of the functional distribution of government expenditure using for this purpose the models of the median voter's demand common in public choice literature. First of all, we review the economic literature on the factors affecting each component of government expenditure. Then, secondly, we develop a demand model of expenditure structure and we estimate the demand equations system for the sample of OECD countries in the period 1970-1997. The results reveal that, besides income and prices, institutional factors, population density and its age structure have significant effects on the composition of government expenditure.
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Paper provided by European Economy Group in its series European Economy Group Working Papers with number
13.
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Length: 31 pages
Date of creation: 2002Date of revision:
Handle: RePEc:eeg:euroeg:13Contact details of provider: Postal: Despacho 104.Pabelloon de Segundo, Facultad de Economicas. Universidad Complutense de Madrid. 28223 Pozuelo de Alarcon, Madrid Phone: 0034913942454 Fax: 0034913942457 Email: Web page: http://www.ucm.es/info/econeuro More information through EDIRC
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