Government Spending and Economic Growth: A Cointegration Analysis on Romania
نویسندگان
چکیده
The purpose of our study is to identify the nature link between government spending and economic growth, in order test two theories Wagner Keynes, case Romania. On one hand, Keynes argues that public an important tool stimulate growth. other says increased a result We analyzed long-term dynamics time series through Johansen’s cointegration approach and, short term, with help Granger’s causality test. obtained results do not indicate existence vectors, but they support double relation term. Therefore, only does GDP represent Granger cause for also vice versa. Our validate liberal criticism state’s involvement supporting economies. As critics monetarist school said, effect multiplying on national income short-term. appears under action inflationary macroeconomic bottlenecks.
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ژورنال
عنوان ژورنال: Sustainability
سال: 2021
ISSN: ['2071-1050']
DOI: https://doi.org/10.3390/su13126575