Developing countries often encounter budget deficits by taking loans from internal and external sources. The effectiveness of public debt has been a long debate in the seminal and empirical literature. In this study, we investigate the effectiveness of public debt on economic growth, incorporating the role of governance in 44 developing countries. In doing so, we applied the Quantile Via Moments approach to analyze heterogeneous panel data ranging 1990–2000 considering the scale and location properties under different economic circumstances. Our results show that public debt impedes economic growth in all quantiles. Our empirical finding corroborates our proposition that in the presence of good governance, public debt promotes economic growth in the medium to higher quantiles. The empirical findings of this study confirm that governance is far more important in promoting economic growth.

Purpose: This study examines the impacts of oil prices and government expenditure on economic growth in the context of Malaysia. Methodology: The time series monthly data from 2000 to 2021 has been considered for this study and examined by the Auto Regressive Distributed Lag (ARDL) model for short and long-run observations. Findings: The finding reveals that the oil price has a favourable impact on both short- and long-term economic growth; hence, Malaysia is practically an oil exporter. Despite the instability of oil prices, the country generates a significant amount from the sector. As oil price rises, economic activities are eventful. The government allocates more funds to various productive areas of the nation from the oil sector-generated revenue. Government expenditure has a considerable positive effect on economic growth in the short and long run. Practical Implications: The investigation results indicate that oil prices and government expenditure favourably impact Malaysia's economy in the short and long term. Originality/Value: Based on the data, policymakers could re-evaluate government expenditures to lubricate the wheels of economic growth while keeping an eye on the volatility of oil prices, contributing to oil revenues. Keywords: Oil price, government expenditure, economic growth.

The study examined the impact of external debt on economic growth in the context of developing countries. Since the level of financial integrity plays a vital role in the growth factor, we also investigated the direct impact of financial integrity (FI) management on economic growth as well as the moderating role of FI on the nexus between external debt and economic growth. To achieve the goals, we deployed a newly developed econometric approach, the Method of Moment Quantile Regression (MMQR), considering the quantile in both scale and location due to highly heterogeneous panel data from 1990 to 2020. The empirical estimation of the MMQR approach demonstrated that external debt is counterproductive in all quantiles for economic growth in the context of developing countries. Besides, FI management was insignificant in the bottom to top quantiles. Besides, the results also depicted that external debt works better for economic growth by the presence of FI in upper quantiles than the lower quantiles. The findings indicated that external debt is detrimental to economic growth in developing countries, while financial integrity management supports the debt-growth relationship. The study provides several policy implications. Keywords: external debt, economic growth, MMQR, financial integrity, developing countries

Government intervention is imperative in the mixed economic system due to market failures, imperfection, pure public goods, and economic externalities. To this end, we measure the comparative impact of budget deficits on economic growth, incorporating the moderating role of quality of governance (QOG) for welfare and non-welfare countries. We apply a newly developed econometric model, namely Panel Quantile Regression via Moment Conditions, considering the scale and location effect due to high heterogeneity in our panel time series data over 1990–2020. Our empirical investigation shows that the budget deficit promotes economic growth sustainability in the overall sample countries. The comparative analysis confirms that budget deficit promotes economic growth for welfare countries while it impends for non-welfare countries. Furthermore, QOG augments sustainable economic growth in different economic circumstances in welfare countries and non-welfare countries. Finally, the results also demonstrate that the QOG plays a supportive role in the nexus between budget deficit and economic growth in the full sample countries. The findings indicate that the effectiveness of the budget deficit varies across welfare and non-welfare countries. In general, QOG promotes economic growth, but its stringent rules and restrictions somewhat slow down the wheel of the growth process. We provide several policy implications.

Purpose: This study compares Malaysia’s oil rent dynamics and primary government approved budget (PGEB) with other major oil-exporting countries. This study reviews the annual time series data from 2005 to 2020 of oil rents and PGEB. Methodology: The outcomes derived from meta-analysis approach are presented in graphical comparisons of oil rents and PGEB of Malaysia with other oil exporters. A horizontal comparison was also carried out. Kuwait, Saudi Arabia, Nigeria, Kazakhstan, Brazil, and the Russian Federation were selected as relevant oil exporters. Findings: Referring to the historical graphical presentation, the oil market fluctuations were linearly aligned to the budget figure among oil exporters. The study results portray historical connections between oil rents and PGEB in the context of Malaysia and other oil exporters, which may be beneficial to policymakers and practitioners in their decision-making process. Practical Implications: The findings that display the historical connections of Malaysian oil rents and PGEB with other oil exporters serve as a guideline to policymakers and practitioners. Originality/Value: In addition to the Malaysian setting, the scenario of other oil exporters amplifies the dynamics of oil rents on PGEB formulation. Keywords: Oil rents, primary government, approved budget, crude oil, Malaysian economy.