Government Expenditure and Economic Dimensions: Determinants of Fiscal Policy

• Main Author: Maalihan, Jay Pee A.
• Format: text
• Published: Animo Repository 2021
• Subjects: government expenditure; economic dimensions; fiscal policy; fixed effects model; Econometrics; Political Economy
• Online Access: https://animorepository.dlsu.edu.ph/res_aki/18; https://animorepository.dlsu.edu.ph/cgi/viewcontent.cgi?article=1018&context=res_aki
• Institution: De La Salle University

Government expenditure is a known tool of fiscal policy. For a fiscal policy to fit the economic needs of a country, nuances regarding government expenditure such as economic dimensions must be considered as determinants of fiscal policy. This study assessed an econometric model of the significance of economic dimensions to government expenditure by utilizing data from 50 countries throughout 1999–2019. Hence, statistical tests and econometric methods such as fixed effects regression are executed to determine objectives of interest. This study contributes to the economic undertakings of various countries to plan and implement their strategic economic directions.