While this paper tries to fill a particular niche in the literature on the tax and spend nexus of the public sector, it provides new insights on the causality between public expenditure and public revenue from a small island developing economy perspective. We apply the Johansen technique to...

This paper revitalizes the Wagner’s law by integrating to its literature the increasingly essential role played by openness. It has been recently hypothesized that the growing size of the public sector in both developed and developing economies could be explained by the increasing degree of...

From an optimizing framework, the median voter?s demand for public goods is derived and estimated using data pertaining to the economy of Mauritius over the period 1970-1999. Empirical findings reveal that a long run relationship exists between the quantity demanded of public goods and the...