Investment in human capital accumulation, government consumption and total government expenditures present a striking negative correlation with capital shares. This correlation is robust to alternative speci...cations, lists of controls, and exclusion of outliers. Causality tests strongly support the hypothesis that the direction of causation runs from capital shares to the government spending ...

This study analyses government capital and recurrent spending outlays on sectors (education, health, defense agriculture and transport and communication) believed to be critical to the growth of the economy, for the period 1980 to 2014. The Error Correction Method was adopted to analyze the short-run impact of each spending division on the prosperity of the economy. The disaggregation into capi...

abstracta number of economists argue that the capital expenditure has a positive impact and the current expenditure has negative impact on output while others believe that the government expenditure, regardless of being current or capital spending, has a negative impact on the economy. in this direction, this paper tries to investigate the impact of current and capital government expenditure on...

one of the necessary preconditions to the establishment and stability of optimal currency area is the homogeneity of the economic structure in member states. but place with eurozone currency crisis, the question arises whether the economic structure of the eurozone countries were homogeneous? accordingly, this study by using an econometrics model and estimating it by panel data method, has been...

A large economic literature discusses the implications of export sanctions for a variety of states around the world. This paper investigates the macro-level consequences of imposing oil export barriers on an oil exporting country. We employ a large real financial computable general equilibrium for Iran. The model is calibrated based on 1999 Social Accounting Matrix for the economy of Iran inc...

What is the impact of fiscal policy on the economy? How large are the “multipliers” of government spending and tax cuts? This old question has recently received considerable attention, in particular in the context of the American Recovery and Reinvestment Act (ARRA) of 2009. I contribute to answering that question by calculating fiscal multipliers in a baseline neoclassical growth model with en...