IDEAS home Printed from https://ideas.repec.org/a/spt/apfiba/v6y2016i3f6_3_5.html
   My bibliography  Save this article

Causal Nexus between Fiscal Deficit and Economic Growth in Odisha: An Empirical Investigation

Author

Listed:
  • Sri Satyapriya Rath
  • Ashok Kumar Sar

Abstract

This paper examines the relationship between fiscal deficit and economic growth for the period 1950-51 to 2014-15 in case of Odisha. The empirical result of Johansen-Juseilius cointegration approach established the long run association between fiscal deficit and economic growth and through VECM model we conclude unidirectional causality that runs from fiscal deficit to economic growth both in the short run and long run. This empirical finding goes in favor of Keynesian school of thought. It is recommended to implement a suitable deficit management policy to achieve sustained economic growth with stability in Odisha.

Suggested Citation

  • Sri Satyapriya Rath & Ashok Kumar Sar, 2016. "Causal Nexus between Fiscal Deficit and Economic Growth in Odisha: An Empirical Investigation," Journal of Applied Finance & Banking, SCIENPRESS Ltd, vol. 6(3), pages 1-5.
    • Handle: RePEc:spt:apfiba:v:6:y:2016:i:3:f:6_3_5
    as

    Download full text from publisher

    File URL: http://www.scienpress.com/Upload/JAFB%2fVol%206_3_5.pdf
    Download Restriction: no
    ---><---

    More about this item

    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:spt:apfiba:v:6:y:2016:i:3:f:6_3_5. 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: Eleftherios Spyromitros-Xioufis (email available below). General contact details of provider: http://www.scienpress.com/ .

    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.