Kostarakosa, Ilias; Varthalitis, Petros - 2020
in Pesaran (2006) and estimate the effects of fiscal policy for a panel of EU countries using annual data from 1995 to … CCE estimation generates significantly larger effects of fiscal policy on growth with respect to the other widely used … unobserved common factors across countries could lead to a significant underestimation of the effects of fiscal policy on growth. …