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Government expenditure and economic growth in the European Union countries: New evidence

Author

Listed:
  • Sáez Marta Pascual
  • Rodríguez Daniela Castañeda

    (University of Cantabria, Faculty of Economics and Business, Avda. de los Castros s/n, 39005, Santander, Spain)

  • Álvarez-García Santiago

    (University of Oviedo, Faculty of Economics and Business, Avda. del Cristo s/n, 33071, Oviedo, Spain)

Abstract

This paper provides new evidence of the impact of government spending on economic growth in the European Union countries. Governments can adjust their levels of spending in order to influence their economies, although the relationship between these variables can be positive or negative, depending on the countries included in the sample, the period of estimation and the variables which reflect the size of the public sector. The results obtained based on regression and panel techniques suggest that government expenditure is not clearly related with economic growth in the European Union countries over the period 1994-2012.

Suggested Citation

  • Sáez Marta Pascual & Rodríguez Daniela Castañeda & Álvarez-García Santiago, 2017. "Government expenditure and economic growth in the European Union countries: New evidence," Bulletin of Geography. Socio-economic Series, Sciendo, vol. 36(36), pages 127-133, June.
    • Handle: RePEc:vrs:buogeo:v:36:y:2017:i:36:p:127-133:n:10
    DOI: 10.1515/bog-2017-0020
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    References listed on IDEAS

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    Cited by:

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    2. Jeyhun A. Abbasov & Khatai Aliyev, 2018. "Testing Wagner's Law and Keynesian Hypothesis in Selected Post-Soviet Countries," Acta Universitatis Agriculturae et Silviculturae Mendelianae Brunensis, Mendel University Press, vol. 66(5), pages 1227-1237.
    3. A Kumudha, 2023. "Impact of FRBM Act 2003 on Public Expenditure in India," Shanlax International Journal of Economics, Shanlax Journals, vol. 12(1), pages 1-11, December.

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