Growth effects of government expenditure and taxation in rich countries: A reply
2006 (English)In: European Economic Review, ISSN 0014-2921, E-ISSN 1873-572X, Vol. 50, no 1, 219-221 p.Article in journal (Refereed) Published
gell et al. (2005) criticise our earlier findings (Folster and Henrekson 2001) of a robust negative relationship between government size and economic growth for an extended sample of rich countries. In this short paper it is argued that their critique is unfounded. Most importantly, the critique does not deal with the main result of the original study, namely that the most complete specifications for assessing the relationship between government expenditure and growth in rich countries are robust even according to stringent extreme bounds criteria.
Place, publisher, year, edition, pages
2006. Vol. 50, no 1, 219-221 p.
economic growth, extreme bounds analysis, fiscal policy, government expenditure, public sector, taxation, cross-country regressions, robustness test
IdentifiersURN: urn:nbn:se:kth:diva-10855DOI: 10.1016/j.euroecorev.2005.02.007ISI: 000234131600010OAI: oai:DiVA.org:kth-10855DiVA: diva2:228277
QC 201110102009-07-282009-07-282011-10-10Bibliographically approved