Aggregate health expenditures as a share of GDP have risen in the United States from about 5 percent in 1960 to nearly 14 percent in recent years. Why? This paper explores a simple explanation based on technological progress. Technological advances allow diseases to be cured today, at a cost, that could not be cured at any price in the past. When this technological progress is combined with a M...

This paper empirically tests pollution abatement efforts of Chinese industries in response to pollution regulations, especially the pollution charge instrument practiced in China for about 20 years. The impacts of pollution regulation on abatement expenditures are examined for one thousand large and medium Chinese industrial polluters. The results show that plant-level expenditures on end-of-pi...

Table 1. Financial Statement of Government X for year Y Revenue Levied through the Government’s Power Direct Taxation 21,260 Indirect Taxation 11,722 Compulsory fees, fines, penalties and levies 258 Sub Total 33,240 Earned through the Government’s Operations Investment Income 1,154 Unrealized gains(losses) arising from changes in the value of commercial forests 78 Other operational revenue 420 ...

We investigate how private information and monitoring affects both the sensitivity of investment to internally generated cash flows and the role of accounting quality in reducing this sensitivity. We expect financing frictions to be lower when debt is obtained from banks with private information and when banks place direct restrictions on investments. We also argue that access to private inform...

We quantify the role of population aging in structural transformation process. Household-level data from United States show that fraction expenditures devoted to services increases with household age. use a shift-share decomposition and quantitative model US accounted for about fifth observed increase service share consumption between 1982 2016. The contribution rise is same size as real income...

In times of economic austerity, governments faced with declining revenues and political restraints on increasing taxes, must resort to major budgetary cutbacks. However, relatively little is known about how the governments of developing countries make expenditure decisions, or perhaps more importantly, how they trade off between consumption and investment or between functional categories of exp...

The years from 1965 to 1976 were a period of great expansion in social welfare expenditures under public law. The entry of the Federal Government into the fields of health care and education was responsible for much of the growth in the first part of this period; high inflation produced increased spending in the later years. From 1977 to 1987, the rate of growth in social welfare spending slowe...

A recent body of literature has sought to determine the causes global decline labor share. We study role played by government investment—which also fallen in many advanced economies over past few decades—in share decline. first establish a theoretical link between investment and using general equilibrium macroeconomic model, where capital enters production function factor-augmenting fashion. Ou...