Private And Government Consumption In Transitional Economies: A Panel Data Analysis
This paper investigates the presence of the relationship between private and government consumption through panel data techniques. Using a panel from different transitional countries, from 1990 to 2003, it applies the panel cointegration and causality methodologies. The study finds statistical evidence for a long run relationship between the variables under study. The empirical findings do not support the Ricardian Equivalence, since government consumption affects private consumption negatively in both methodological approaches.
Volume (Year): 33 (2008)
Issue (Month): 1 (June)
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