Performance budgeting: effects on government debt and economic growth

This article examines the effects of performance budgeting on government debt and economic growth rates. The results show that countries with a higher share of ministries using performance targets in budget negotiation tend to have lower government debt and higher GDP growth rates. A simple fixed-ef...

Full description

Saved in:
Bibliographic Details
Published in:Applied economics letters 2018-03, Vol.25 (6), p.388-392
Main Author: Kwon, Illoong
Format: Article
Language:English
Subjects:
Budgeting
Budgets
Corruption
Corruption in government
Deficit financing
Economic analysis
Economic growth
Economic models
Economic theory
Economics
government debt
Performance budgeting
Citations: Items that this one cites
Items that cite this one
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:This article examines the effects of performance budgeting on government debt and economic growth rates. The results show that countries with a higher share of ministries using performance targets in budget negotiation tend to have lower government debt and higher GDP growth rates. A simple fixed-effect model shows similar results. The evidence suggests that these results hold only in those countries with relatively lower corruption.
ISSN:1350-4851
1466-4291
DOI:10.1080/13504851.2017.1324607