IDEAS home Printed from https://ideas.repec.org/a/pid/journl/v51y2012i4p381-396.html
   My bibliography  Save this article

The Role of Fiscal Policy in Human Development: The Pakistan’s Perspective

Author

Listed:
  • Syed Ammad Ali

    (Applied Economics Research Centre, University of Karachi)

  • Hasan Raza

    (Department of Commerce, University of Karachi, Karachi)

  • Muhammad Umair Yousuf

    (Applied Economics Research Centre, University of Karachi, Karachi)

Abstract

Economic and human development is the ultimate goal of every government. The objective of this study is to investigate the role of fiscal policy in the human development of the country. The novelty of this study is that here we directly measure the effect of government expenditures on Human development by using Human Development Index. This study employs the autoregressive distributed lags (ARDL) bounds testing approach of cointergration on different macroeconomic variables for Pakistan from 1972 to 2010 to explore the impact of government expenditure and the political regime on the welfare of the people in the country. The results show that increase in per capita income and education expenditure have positive effect and current expenditure has negative impact on the human development. The political regime of the democratic governments has a negative effect on human development. The alarming condition of negative relation of current expenditure needs attention of the policy-makers for reducing corruption in the public spending to gain the maximum benefits for the human welfare in Pakistan.

Suggested Citation

  • Syed Ammad Ali & Hasan Raza & Muhammad Umair Yousuf, 2012. "The Role of Fiscal Policy in Human Development: The Pakistan’s Perspective," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 51(4), pages 381-396.
    • Handle: RePEc:pid:journl:v:51:y:2012:i:4:p:381-396
    as

    Download full text from publisher

    File URL: http://www.pide.org.pk/pdf/PDR/2012/Volume4/381-396.pdf
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Megbowon Ebenezer & Aderoju Samuel & Gbenga Peter Sanusi, 2021. "Effectiveness of fiscal federalism for poverty reduction in Nigeria: an analysis of federal and state governments’ expenditures," SN Business & Economics, Springer, vol. 1(9), pages 1-19, September.
    2. Alina Ioana CALINOVICI, 2021. "Is there any effect of economic growth and human development on fiscal policy implementation?Abstract: The paper's scope is to study the effect of socio-economic structures on fiscal policy implementa," Finante - provocarile viitorului (Finance - Challenges of the Future), University of Craiova, Faculty of Economics and Business Administration, vol. 1(23), pages 173-180, November.

    More about this item

    Keywords

    Public Expenditures; Fiscal Policy; Human Development; Education Expenditures;
    All these keywords.

    JEL classification:

    • E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy; Modern Monetary Theory
    • H52 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Education
    • H53 - Public Economics - - National Government Expenditures and Related Policies - - - Government Expenditures and Welfare Programs
    • I25 - Health, Education, and Welfare - - Education - - - Education and Economic Development

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pid:journl:v:51:y:2012:i:4:p:381-396. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Khurram Iqbal (email available below). General contact details of provider: https://edirc.repec.org/data/pideipk.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.