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The Impact Of Public Debt On Economic Growth

Author

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  • Iulia ROȘOIU

    (Academy of Economic Studies, Bucharest, Romania)

Abstract

The aim of this study is to investigate the impact of public debt on the economic growth, government expenditures and revenues in Romania over the period 1995-2020. The estimation is performed using simple Vector Autoregressive model. The results indicate that the economy is discouraged for the first period, starting to grow after. The effects on government expenditures and revenues are positive for two periods, afterwards they decrease. The significance of the impact is similar on the aggregate fiscal and budget variables and more important compared to the one on the economic growth.

Suggested Citation

  • Iulia ROȘOIU, 2019. "The Impact Of Public Debt On Economic Growth," CrossCultural Management Journal, Fundația Română pentru Inteligența Afacerii, Editorial Department, issue 1, pages 73-78, July.
    • Handle: RePEc:cmj:journl:y:2019:i:1:p:73-78
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    More about this item

    Keywords

    Public debt; Economic growth; Simple VAR model;
    All these keywords.

    JEL classification:

    • H63 - Public Economics - - National Budget, Deficit, and Debt - - - Debt; Debt Management; Sovereign Debt
    • H60 - Public Economics - - National Budget, Deficit, and Debt - - - General
    • H20 - Public Economics - - Taxation, Subsidies, and Revenue - - - General

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