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Modelling the Influences of Economic, Demographic, and Institutional Factors on Fiscal Pressure Using OLS, PCSE, and FD-GMM Approaches

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  • Alina-Cristina Nuță

    (Finance and Business Administration Department, Danubius University, Galați 800654, Romania)

  • Florian-Marcel Nuță

    (Finance and Business Administration Department, Danubius University, Galați 800654, Romania)

Abstract

The purpose of our article is to assess the effect of diverse factors, such as economic, demographic, and institutional factors, on global and social fiscal pressure. The study is based on a panel analysis of 38 states during 2000–2017. We used ordinary least squares (OLS) as a base model for our estimations, and a linear regression with panel-corrected standard errors and a first difference generalized method of moments (GMM) with robust standard errors and orthogonal deviations. The results of our study indicate that the demographic and institutional factors involved in the analysis contribute to the identification of some variables that affect the global or social fiscal pressure.

Suggested Citation

  • Alina-Cristina Nuță & Florian-Marcel Nuță, 2020. "Modelling the Influences of Economic, Demographic, and Institutional Factors on Fiscal Pressure Using OLS, PCSE, and FD-GMM Approaches," Sustainability, MDPI, vol. 12(4), pages 1-12, February.
    • Handle: RePEc:gam:jsusta:v:12:y:2020:i:4:p:1681-:d:324414
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    2. Rimon Saha & Udaya S. Mishra, 2022. "Development goals, population demography and state expenditure on human priority sectors: a study of Indian major states," International Review of Economics, Springer;Happiness Economics and Interpersonal Relations (HEIRS), vol. 69(1), pages 21-47, March.
    3. Sarfraz Hussain & Van Chien Nguyen & Quang Minh Nguyen & Huu Tinh Nguyen & Thu Thuy Nguyen, 2021. "Macroeconomic factors, working capital management, and firm performance—A static and dynamic panel analysis," Palgrave Communications, Palgrave Macmillan, vol. 8(1), pages 1-14, December.
    4. Lin, Gaoyi & Ma, Liuding & Liao, Hui & Li, Jingying, 2024. "Nothing comes for free: Evidence from a tax reduction of China," China Economic Review, Elsevier, vol. 83(C).
    5. Bayan Mohamad Alshaib & Abdullah Mohammad Ghazi Al khatib & Alina Cristina Nuta & Mohamad Hamra & Pradeep Mishra & Rajani Gautam & Sarfraz Hussain & Cristina Gabriela Zamfir, 2023. "Fiscal Sustainability and Its Implications for Economic Growth in Egypt: An Empirical Analysis," SAGE Open, , vol. 13(4), pages 21582440231, December.

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