Capital expenditure and economic growth: A disaggregated analysis for Nepal

Paudel, Ramesh C.

doi:10.1080/23322039.2023.2191449

Cited by 4 publications

(2 citation statements)

References 19 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Poku et al. (2022) show that the relationship only exists in the short run, and similar results are obtained for Nepal in Paudel (2023), which also highlights the importance of capital (rather than recurrent) health expenditure in the nexus.…”

Section: Literature and Methodologysupporting

confidence: 66%

“…Some other specific examples include Sedrakyan and Candamio (2019), which largely obtain that public expenditure positively contributes to the growth in Armenia. Poku et al (2022) show that the relationship only exists in the short run, and similar results are obtained for Nepal in Paudel (2023), which also highlights the importance of capital (rather than recurrent) health expenditure in the nexus.…”

Section: Theory and Empiricssupporting

confidence: 66%

See 1 more Smart Citation

Forecasting expenditure components in Nigeria

Salisu,

Omotor

2023

JES

View full text Add to dashboard Cite

PurposeThis study forecasts the government expenditure components in Nigeria, including recurrent and capital expenditures for 2021 and 2022, based on data from 1981 to 2020.Design/methodology/approachThe study employs statistical/econometric problems using the Feasible Quasi Generalized Least Squares approach. Expenditure forecasts involve three simulation scenarios: (1) do nothing where the economy follows its natural path; (2) an optimistic scenario, where the economy grows by specific percentages and (3) a pessimistic scenario that defines specific economic contractions.FindingsThe estimation model is informed by Wagner's law specifying a positive link between economic activities and public spending. Model estimation affirms the expected positive relationship and is relevant for generating forecasts. The out-of-sample results show that a higher proportion of the total government expenditure (7.6% in 2021 and 15.6% in 2022) is required to achieve a predefined growth target (5%).Originality/valueThis study offers empirical evidence that specifically requires Nigeria to invest a ratio of 3 to 1 or more in capital expenditure to recurrent expenditure for the economy to be guided on growth.

show abstract

Section: Literature and Methodologysupporting

confidence: 66%