Bootstrap Panel Granger-Causality between Government Budget and External Deficits for the EU

We investigate the existence of Granger-causality between current account and government budget balances over the period 1970-2007, for different EU and OECD country groupings. We use a panel-data approach based on SUR systems and Wald tests with country specific bootstrap critical values. Our results show a causal relation from budget deficits to current account deficits for several EU countries: Bulgaria, Czech Republic, Estonia, Finland, France, Italy, Hungary, Lithuania, Poland, and Slovakia, along the lines of the so-called twin-deficit relationship. Considering the effective real exchange rate in the SUR system does not substantially alter the results

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Year of publication:	2009
Authors:	Afonso, António ; Rault, Christophe
Publisher:	[S.l.] : SSRN
Subject:	Öffentlicher Haushalt \| Public budget \| Kausalanalyse \| Causality analysis \| Haushaltsdefizit \| Budget deficit \| Bootstrap-Verfahren \| Bootstrap approach
Description of contents:	Abstract [papers.ssrn.com]

Extent:	1 Online-Ressource
Type of publication:	Book / Working Paper
Language:	English
Notes:	In: Economics Bulletin, Vol. 29, No. 2, pp. 1036-1043, 2009 Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments May 17, 2009 erstellt Volltext nicht verfügbar
Classification:	C23 - Models with Panel Data ; E62 - Fiscal Policy; Public Expenditures, Investment, and Finance; Taxation ; F32 - Current Account Adjustment; Short-Term Capital Movements ; H62 - Deficit; Surplus
Source:	ECONIS - Online Catalogue of the ZBW

Persistent link: https://ebvufind01.dmz1.zbw.eu/10014202431