Subject: Bootstrap panel Granger causality, government expenditures, government revenues, Southeast European countries
Year: 2020
Type: Journal Article
Title: The Government Revenue–Expenditure Nexus in Southeast Europe: A Bootstrap Panel Granger-Causality Approach
Author: Tashevska, Biljana
Author: Trenovski, Borce
Author: Trpkova-nestorovska, Marija
Abstract: This article presents one of the first attempts to explore the relationship between government revenues and government expenditures in six Southeast European countries for the period 1999–2015, employing a bootstrap panel Granger-causality approach, which provides insight into the nature and direction of their relationship in each country. The empirical results indicate a unidirectional relationship from government revenues to government expenditures in five countries (Albania, Bulgaria, Croatia, Serbia, and Slovenia), confirming the revenue-expenditure or tax-spend hypothesis. The findings offer support for the fiscal synchronization hypothesis only in Macedonia, where bidirectional causality between government revenues and government expenditures was found.
Publisher: Eastern European Economics
Relation: Eastern European Economics
Identifier: oai:repository.ukim.mk:20.500.12188/9438
Identifier: Tashevska, B., Trenovski, B. and Trpkova-Nestorovska, M., 2020. The Government Revenue–Expenditure Nexus in Southeast Europe: A Bootstrap Panel Granger-Causality Approach. Eastern European Economics, pp.1-18
Identifier: http://hdl.handle.net/20.500.12188/9438
