Expenditures on Collective and Individual Services: Discussion on the Classification of Government Expenditures with Regard to their Inclusion into Growth Models

The aim of this paper is to examine the effects of government expenditures on long-run economic growth in developed countries using their different breakdown. Empirical analysis is performed for a panel of 34 OECD countries in the period 2000-2012. Above all, the results support the idea that conclu...

Full description

Bibliographic Details
Main Authors:	Machová Zuzana, Kotlán Igor
Format:	Article
Language:	English
Published:	Sciendo 2015-02-01
Series:	Danube
Subjects:	government expenditures economic growth collective services individual services
Online Access:	https://doi.org/10.2478/danb-2014-0016

id	doaj-f1b9f223fcb841fba5b84195ab449b92
record_format	Article
spelling	doaj-f1b9f223fcb841fba5b84195ab449b922021-09-05T21:00:40ZengSciendoDanube1804-82852015-02-015428729610.2478/danb-2014-0016danb-2014-0016Expenditures on Collective and Individual Services: Discussion on the Classification of Government Expenditures with Regard to their Inclusion into Growth ModelsMachová Zuzana0Kotlán Igor1 VŠB - Technical University of Ostrava, Faculty of Economics, Sokolská tř. 33, 721 00 Ostrava, Czech Republic VŠB - Technical University of Ostrava, Faculty of Economics, Sokolská tř. 33, 721 00 Ostrava, Czech RepublicThe aim of this paper is to examine the effects of government expenditures on long-run economic growth in developed countries using their different breakdown. Empirical analysis is performed for a panel of 34 OECD countries in the period 2000-2012. Above all, the results support the idea that conclusions of previous studies on this topic may be strongly distorted by inappropriate classification of expenditures, typically in the case of expenditures on education and health. These are usually considered productive and thus growth enhancing, but if their part of R&D expenditures is detached, their effect on growth is in fact negative. In general, it is concluded that government expenditures on individual services have negative effects on growth, while the impact of expenditures on collective services is positive.https://doi.org/10.2478/danb-2014-0016government expenditureseconomic growthcollective servicesindividual services
collection	DOAJ
language	English
format	Article
sources	DOAJ
author	Machová Zuzana Kotlán Igor
spellingShingle	Machová Zuzana Kotlán Igor Expenditures on Collective and Individual Services: Discussion on the Classification of Government Expenditures with Regard to their Inclusion into Growth Models Danube government expenditures economic growth collective services individual services
author_facet	Machová Zuzana Kotlán Igor
author_sort	Machová Zuzana
title	Expenditures on Collective and Individual Services: Discussion on the Classification of Government Expenditures with Regard to their Inclusion into Growth Models
title_short	Expenditures on Collective and Individual Services: Discussion on the Classification of Government Expenditures with Regard to their Inclusion into Growth Models
title_full	Expenditures on Collective and Individual Services: Discussion on the Classification of Government Expenditures with Regard to their Inclusion into Growth Models
title_fullStr	Expenditures on Collective and Individual Services: Discussion on the Classification of Government Expenditures with Regard to their Inclusion into Growth Models
title_full_unstemmed	Expenditures on Collective and Individual Services: Discussion on the Classification of Government Expenditures with Regard to their Inclusion into Growth Models
title_sort	expenditures on collective and individual services: discussion on the classification of government expenditures with regard to their inclusion into growth models
publisher	Sciendo
series	Danube
issn	1804-8285
publishDate	2015-02-01
description	The aim of this paper is to examine the effects of government expenditures on long-run economic growth in developed countries using their different breakdown. Empirical analysis is performed for a panel of 34 OECD countries in the period 2000-2012. Above all, the results support the idea that conclusions of previous studies on this topic may be strongly distorted by inappropriate classification of expenditures, typically in the case of expenditures on education and health. These are usually considered productive and thus growth enhancing, but if their part of R&D expenditures is detached, their effect on growth is in fact negative. In general, it is concluded that government expenditures on individual services have negative effects on growth, while the impact of expenditures on collective services is positive.
topic	government expenditures economic growth collective services individual services
url	https://doi.org/10.2478/danb-2014-0016
work_keys_str_mv	AT machovazuzana expendituresoncollectiveandindividualservicesdiscussionontheclassificationofgovernmentexpenditureswithregardtotheirinclusionintogrowthmodels AT kotlanigor expendituresoncollectiveandindividualservicesdiscussionontheclassificationofgovernmentexpenditureswithregardtotheirinclusionintogrowthmodels
_version_	1717782557580328960

Expenditures on Collective and Individual Services: Discussion on the Classification of Government Expenditures with Regard to their Inclusion into Growth Models

Similar Items