Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/194924
Authors: 
Dobrescu, Emilian
Year of Publication: 
2018
Citation: 
[Journal:] Journal of Economic Structures [ISSN:] 2193-2409 [Volume:] 7 [Year:] 2018 [Issue:] 19 [Pages:] 1-27
Abstract: 
Two challenges in the literature have inspired this paper. First, the highly contradictory puzzle of debates on the 'public budget-economic growth' correlation, explainable in great measure by the inadequacy of involved modeling tools (assumptions and specifications) with studied samples. Regarding this issue, the paper proposes three temporal scales of analysis: (1) the global historical trajectory of the modern society, concerning which the Wagner-Kaldor theorem has a leading explicative position; (2) the given structural state-society relationship, for which Barro-Armey-Rahn-Scully (BARS), Laffer in narrower sense (LINS), and the public budget balance restriction (BBR) curves are more suited; and (3) the short-medium horizon, where the Keynesian and post-Keynesian framework remains relevant. Another starting point of this paper refers to the second scale. While the BARS and LINS curves were extendedly examined, the BBR one benefited of attention only during the last period in the context of the sovereign debt crisis. Besides, all these functions were studied separately. Since in the real economy they interact continuously, we integrate BARS, LINS, and BBR curves into a unitary model with a 'compatibility restriction' as technical solution. Data for an emergent medium-sized EU country (Romanian case study) illustrate this approach.
Subjects: 
Public budget
BARS
LINS
BBR
Collinearity
Compatibility restriction
Model simulations
Persistent Identifier of the first edition: 
Creative Commons License: 
https://creativecommons.org/licenses/by/4.0/
Document Type: 
Article
Social Media Mentions:

Files in This Item:
File
Size





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.