Growth and the public sector: A critical review essay
1997 (English)In: European Journal of Political Economy, ISSN 0176-2680, E-ISSN 1873-5703, Vol. 13, no 1, 33-52 p.Article in journal (Refereed) Published
We review the theoretical and empirical evidence on the relation between growth and the public sector against the background of the current debate on the issue. The evidence is found to admit no conclusion on whether the relation is positive, negative or non-existent. A simple cross-country regression in an OECD sample illustrates how the relation is easily tilted from negative to positive by introducing control variables for initial GDP and the dependent population.
Place, publisher, year, edition, pages
1997. Vol. 13, no 1, 33-52 p.
growth, public sector, cross-country regressions
Research subject Economics
IdentifiersURN: urn:nbn:se:uu:diva-29035DOI: 10.1016/S0176-2680(96)00031-6OAI: oai:DiVA.org:uu-29035DiVA: diva2:56931