The evolution and convergence of the government expenditure composition in the OECD countries: an analysis of the functional distribution
The composition of the public expenditure affects the long-run growth rate (Barro, 1990, Devarajan, Swaroop and Zou, 1996). This paper has explored the existence of convergence in the structure of government expenditure by functions in the OECD countries for the period 1970-1998 and the perspectives of this process to persist in the future. The results obtained first through the similarity index and afterwards using the usual convergence indicators (ƒÒ, ƒã and ƒ×), adapted to the analysis of the breakdown of public expenditure, point out to the existence of a distribution approximation. Nevertheless, we have found that the majority of expenditures were near to the steady-state, which differs across countries. This reveals that there are some individual factors that impede the convergence to a single structure in the long run. This could be one of the explanations of the difference observed among economic growth rates in developed countries.
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Shantayanan Devarajan & Vinaya Swaroop & Heng-fu Zou, 1996.
"The composition of public expenditure and economic growth,"
CEMA Working Papers
77, China Economics and Management Academy, Central University of Finance and Economics.
- Devarajan, Shantayanan & Swaroop, Vinaya & Heng-fu, Zou, 1996. "The composition of public expenditure and economic growth," Journal of Monetary Economics, Elsevier, vol. 37(2-3), pages 313-344, April.
- G. E. Boyle & T. G. McCARTHY, 1999. "Simple measures of convergence in per capita GDP: a note on some further international evidence," Applied Economics Letters, Taylor & Francis Journals, vol. 6(6), pages 343-347.
- Gerry Boyle; & Thomas McCarthy, 1995.
"A Simple Measure of Beta-Convergence,"
Economics, Finance and Accounting Department Working Paper Series
n560495, Department of Economics, Finance and Accounting, National University of Ireland - Maynooth.
- Robert J. Barro, 1988.
"Government Spending in a Simple Model of Endogenous Growth,"
NBER Working Papers
2588, National Bureau of Economic Research, Inc.
- Barro, Robert J, 1990. "Government Spending in a Simple Model of Endogenous Growth," Journal of Political Economy, University of Chicago Press, vol. 98(5), pages 103-126, October.
- Barro, Robert J., 1990. "Government Spending in a Simple Model of Endogeneous Growth," Scholarly Articles 3451296, Harvard University Department of Economics.
- Barro, R.J., 1988. "Government Spending In A Simple Model Of Endogenous Growth," RCER Working Papers 130, University of Rochester - Center for Economic Research (RCER).
- William Easterly & Sergio Rebelo, 1993.
"Fiscal Policy and Economic Growth: An Empirical Investigation,"
NBER Working Papers
4499, National Bureau of Economic Research, Inc.
- Easterly, William & Rebelo, Sergio, 1993. "Fiscal policy and economic growth: An empirical investigation," Journal of Monetary Economics, Elsevier, vol. 32(3), pages 417-458, December.
- Easterly, William & Rebelo, Sérgio, 1994. "Fiscal Policy and Economic Growth: An Empirical Investigation," CEPR Discussion Papers 885, C.E.P.R. Discussion Papers.
- Agell, J. & Lindh, T. & Ohlsson, H., 1999.
"Growth and the Public Sector: a Reply,"
1999:1, Uppsala - Working Paper Series.
- Massimo Florio, 2001. "On Cross-country Comparability of Government Statistics: Public expenditure trends in OECD National Accounts," International Review of Applied Economics, Taylor & Francis Journals, vol. 15(2), pages 181-198.
- Vito Tanzi & Howell H. Zee, 1997.
"Fiscal Policy and Long-Run Growth,"
IMF Staff Papers,
Palgrave Macmillan, vol. 44(2), pages 179-209, June.
- Angel de la Fuente, 2002.
"Convergence across countries and regions: theory and empirics,"
UFAE and IAE Working Papers
555.02, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC).
- de la Fuente, Angel, 2000. "Convergence Across Countries And Regions: Theory And Empirics," CEPR Discussion Papers 2465, C.E.P.R. Discussion Papers.
- ?gel de la Fuente, "undated". "Convergence Across Countries And Regions: Theory And Empirics," UFAE and IAE Working Papers 447.00, Unitat de Fonaments de l'Anàlisi Econòmica (UAB) and Institut d'Anàlisi Econòmica (CSIC).
- Robert J. Barro & Xavier Sala-i-Martin, 1990. "Economic Growth and Convergence across The United States," NBER Working Papers 3419, National Bureau of Economic Research, Inc.
- Gerry Boyle; & Tom McCarthy, 1997. "Simple Measures of Convergence in Per Capita GDP: A Note on Some Further International Evidence," Economics, Finance and Accounting Department Working Paper Series n751197, Department of Economics, Finance and Accounting, National University of Ireland - Maynooth.
- Agell, Jonas & Lindh, Thomas & Ohlsson, Henry, 1997.
"Growth and the public sector: A critical review essay,"
European Journal of Political Economy,
Elsevier, vol. 13(1), pages 33-52, February.
- Ohlsson, H. & Agell, J. & Lindh, T., 1995. "Growth and the Public Sector: A Critical Review Essay," Papers 1995-09, Uppsala - Working Paper Series.
- Kneller, Richard & Bleaney, Michael F. & Gemmell, Norman, 1999. "Fiscal policy and growth: evidence from OECD countries," Journal of Public Economics, Elsevier, vol. 74(2), pages 171-190, November.
- Tanzi,Vito & Schuknecht,Ludger, 2000.
"Public Spending in the 20th Century,"
Cambridge University Press, number 9780521664103, December.
- Alberto Alesina & Roberto Perotti & José Tavares, 1998. "The Political Economy of Fiscal Adjustments," Brookings Papers on Economic Activity, Economic Studies Program, The Brookings Institution, vol. 29(1), pages 197-266.
- Alesina, Alberto Francesco & Perotti, Roberto & Tavares, Jose, 1998. "The Political Economy of Fiscal Adjustments," Scholarly Articles 12553724, Harvard University Department of Economics.
When requesting a correction, please mention this item's handle: RePEc:wpa:wuwppe:0111005. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (EconWPA)
If references are entirely missing, you can add them using this form.