This paper empirically investigates the short- and long-term impact of public expenditure on economic growth. We use annual data from 28 European Union (EU) countries for the 1995-2022 period and estimate a growth model augmented for public expenditure employing the Autoregressive Distributed...

I investigate the social costs imposed by poor implementation of public infrastructure. Focusing on the period from 2005 to 2015 in Peru, when the government embarked on a nationwide initiative to expand sewerage systems, I leverage quasi-random variation in initiation of the implementation...

We perform a Meta-Regression Analysis (MRA) of the literature on government size and corruption, examining 450 empirical estimates retrieved from 44 primary papers published from 1998 to 2022. We find considerable heterogeneity in the results, mainly depending on whether the paper is published...

We examine the relationship between public sector efficiency and government spending, to assess public resource management across the 27 European Union countries. Specifically, we analyze the growth of public expenditure in relation to outcomes across various public sector performance (PSP)...

This paper examines the distributional effects of fiscal policy in Grenada. Using data from the 2017-2018 Living Conditions and Household Budgets Survey and following the Commitment to Equity (CEQ) analysis framework, we estimate the effects of fiscal policy interventions on inequality and...

The main goal of the first-generation expenditure rules was to ensure fiscal discipline: preserving a sound fiscal framework and public debt sustainability. Regarding this goal, analytically as well as empirically, limiting the share of public expenditure in GDP would be more appropriate in case...

The social impact of sanitation is multifaceted. It has repercussions for health, education, and the local environment, as well as overall human development and economic growth. Unsafe sanitation poses environmental and health risks. In light of the health hazards, the Government of India has...

Public spending will play the decisive role in the reconstruction of Ukraine, in rendering aid to the population, providing emergency services, reconstructing infrastructure and driving industrial development in the coming years. For economic recovery and sustainable development in the post-war...

This paper provides a critical assessment of the new EU fiscal framework, with a focus on its implications for public expenditure on the twin green and digital transition. According to the reformed rules, member states may commit to a package of investment and reform to extend the fiscal...

The paper examines the macroeconomic effects of fiscal policy under varying economic conditions. The analysis is conducted using a closed-economy agent-based model, where macroeconomic outcomes of fiscal intervention emerge from the bottom up as the result of interactions between heterogeneous...

The PER analysis highlights priority policy actions to increase fiscal space and improve resilience to economic shocks and climate risks through human and physical capital investments. Chapter 1 focuses on Seychelles' recent fiscal performance and examines trends in its public finances. Chapter...

The role of research and development (R&D) as a main foundation of innovation, productivity improvement, and a key element for national competitive advantage in the global economy is well established. This study aims to examine the relationship between R&D investment and economic growth through...

A Bayesian factor-augmented interacted vector autoregression framework purified of expectations is employed to analyze how government spending shocks have impacted CO2 emissions in the United States from the 1980s to the pre-pandemic period. Consumption-generated emissions are found to have...

We build an endogenous growth model that distinguishes productive and welfare government expenditures and embeds fiscal externalities. The model yields three testable hypotheses: (i) productive expenditure raises growth (Barro effect); (ii) productive expenditure generates cross-country...

Just like every other socio-economic dimension, also the fiscal situation in West Bank and Gaza is shaped by its fragility, conflict and violence (FCV) context. It is difficult to overstate the impact that the Israeli occupation imposes on the economy of the West Bank and Gaza. Along with the...

Studium und Lehre in Deutschland werden in einem komplexen Geflecht von privaten Akteuren und öffentlichen Institutionen finanziert. Inwiefern teilen sich der öffentliche und private Sektor diese Finanzierungsaufgaben? In einer Studie wurden die öffentlichen und privaten Ausgaben für das...

We evaluate the efficiency of public expenditure in the 27 European countries in achieving the Sustainable Development Goals (SDGs) of the 2030 Agenda. Using Data Envelopment Analysis (DEA), we map performance over the period 1995-2023, incorporating Musgravian functional spending -...

This Economic Brief analyses the euro area fiscal stance, i.e. the impulse that national and the EU budgets provide to the euro area economy, with a focus on the 2024-2026 period. In the euro area, the European Central Bank (ECB) is entrusted with the objective of maintaining price stability...

The UK government is consulting on significant reforms to how funding from central government is allocated between English councils. From 2026-27, there will be a new system for allocating funding between councils, which will take account of new official assessments of councils' spending needs...

Wildfires pose significant environmental and socioeconomic challenges, necessitating efficient management and prevention through proper resource allocation and financial oversight. Despite evidence on risks, drivers, and opportunity costs of intervention, there is little information on how...

This study investigates the effectiveness of government expenditure in combating the incidence of poverty in Nigeria from 1981 to 2022, employing a Vector Error Correction Model (VECM) framework. The research analyzes the relationship between poverty incidence and key variables including...

The European Union is grappling with the challenge of increasing defence expenditure while maintaining fiscal discipline under the Stability and Growth Pact (SGP). The European Commission has proposed activating the national escape clause available under the SGP to accommodate defence spending...

We study anchoring effects in the elicitation of multidimensional beliefs within a single survey task using a representative sample of the German voting-age population. Respondents estimated governmentspending levels across several domains (e.g., education, defense, social security), with...

We study anchoring effects in the elicitation of multidimensional beliefs within a single survey task using a representative sample of the German voting-age population. Respondents estimated government-spending levels across several domains (e.g., education, defense, social security), with...

The upcoming Spending Review will involve some very difficult decisions on public service spending, with virtually no headroom against the government's fiscal rules. The government has set out plans for overall departmental spending to grow by about 1.2% per year in real terms between 2025-26...