Relationship between Public Expenditure and Economic Development in Sub- Saharan Africa Countries: The VECM

This study examined the relationship between public expenditure and economic development in Sub-Saharan African nations using time series data from 1970 to 2021. The employed Vector Error Correction Model (VECM) Granger Causality approaches, leveraging variables such as real GDP per capita aggregate expenditure. short long run outcomes show that government has a negative impact on development. In addition, study's causality test reveals bidirectional link success spending. call for pushes Tanzania's enhance its priorities while reinforcing programs cost-cutting fiscal consolidation. It also underlines need of projects are initiated completed minimize cost escalation