Fiscal policy entails governments management of the economy through the manipulation of. This paper empirical study the effectiveness of monetary and fiscal policy instruments in stabilizing nigerian economy from 1981 2015. As the fiscal policy has two parts of revenue collection and expenditure. Fiscal policy involves the use of government spending, taxation and borrowing to influence the pattern of economic activities and also the level and growth of aggregate demand, output and employment. Natural resource rents, fiscal policy and economic growth in algeria. The macroeconomic effects of fiscal policy in algeria les cahiers du. Appropriate policy mix, prudent public spending, setting of achievable fiscal policy targets, and diversification of the nations economic base, among others, were recommended. In the same vein but covering a shorter period, adeoye 2006 analyzed the impact of fiscal policy on economic growth in nigeria in 1970 to 2002. Among the various tools of fiscal policy, the following are the most important. Pdf this paper estimates the effects of fiscal policy on algerian economic activity. While spending on preschool and primary school is propoor the per capita transfer declines with income in almost all. Fiscal policy includes deliberate government actions in the area of spending money and. The study was specifically meant to assess the extent to which government revenue and expenditure impact on the manufacturing output in. The fiscalmonetary policy and economic growth in algeria.
The theory of fiscal policy agreed with the keynesian role of fiscal policy on the assumption that policymakers have no other objectives beside the promotion of social welfare. An econometric investigation, by eugene kouassi, research paper 52. The current algerian tax system consists of 2 regimes the real and the fixed regime. Dissertations gratuites sur declaration fiscal et parafiscal. Below the article from statistics south africa the south african government spent 7,3% more in 201718 than it did in 201617. The net effect is to increase the current budget surplus or shrink the deficit by about 0. Fiscal policy refers to the use of taxation and government spending to. Published in volume 14, issue 3, pages 26 of journal of economic perspectives, summer 2000, abstract. F1 the relative size of government increases as an economy develops, f2 the rise in government and taxation are associated with rising or constant economic growth rates, and f3 todays developing countries have larger government sectors than todays developed countries had at. Droit fiscal algerien ifiscalite des personnes physiques et morales. European journal of educational and development psychology vol. To overcome the limits on traditional monetary policy imposed by the effective lower bound on shortterm interest rates, in.
Fiscal balances and the rise of catalonian separatism. The fiscal policy framework 9 while current receipts rise by about 0. The objective of fiscal policy is to create healthy economic growth. Zimbabwe has given fiscal policy the biggest role in economic stimulus given the multicurrency regime which has limited the role of monetary policy. Monetary policy, fiscal policy, and the efficiency of our. An open economy analysis article pdf available july 2016 with 405 reads how we measure reads. The rise was largely driven by general public services, education and health. The purpose of the paper is to examine the effectiveness of fiscal policy instruments in zimbabwe on economic growth as the major target variable in the period 19802010. The journal of monetary economics has eight regular issues per year, with the carnegierochester conference series on public policy as the january and july issues.
In finance, fiscal policy is the use of government revenue collection taxation. Besides providing goods and services, fiscal policy. Fiscal policy and business cycles canadian journal of. It gets its name from the way it contracts the economy. Machinereadable bibliographic record marc, ris, bibtex document object identifier doi. A read is counted each time someone views a publication summary such as the title, abstract, and list of authors, clicks on a figure, or views or downloads the fulltext. Journal of economic structures volume 8, article number. Fiscal policyfiscal policy page 1 of 4 fiscal policy definitions fiscal policy is the use of taxes, government transfers, or government purchases of goods and services to shift the aggregate demand curve. We employ historical data, recent crosssection data and newly constructed public investment series. This policy implies a balance between government spending and furthermore, it means that tax revenue is fully used for government spending. This distinction issued from the reform implemented in 2007 when the taxation was revised.
Monetary policy, financial conditions, and financial stability tobias adrian and nellie liang federal reserve bank of new york staff reports, no. Since its inception in 1979, fiscal studies has earned a reputation around the world for publishing highquality, original research papers in a style understandable to a wide audience. Taxes fiscal policy have their importance to the need for improved the projected benefits of the field in stimulating and building profitable economic sectors. The effects of monetary and fiscal policies on economic. Internal auditors placement, recognition and independence in ghana. Inflation targeting and fiscal rules international monetary fund. Fiscal policy, employment, and output in south africa. The secessionist movement has received renewed impetus from the institutions of the catalonian regional government, and the catalan people are now gravely split, almost in half, on the issue. Fiscal policy and economic growth in south africa article pdf available in journal of economic studies 6025 september 2011 with 14,646 reads how we measure reads. Theory of fiscal policy in an islamic state 17 the argument that zakah receipt may sometimes fall short of resource requirements for welfare expenditure has been recognized by the quran itself in as much as it has exhorted the muslims to expend voluntarily a part of their resources.
Fiscal policy and business cycles volume 9 issue 1 d. This suggests that algerian government needs to pay more attention to the fiscal policy. Macgibbon skip to main content accessibility help we use cookies to distinguish you from other users and to provide you with a better experience on our websites. Nigeria this study examined the impact of fiscal policy on the performance of the manufacturing sector in nigeria. The new tools of monetary policy american economic. Also, the overall budget outcome will have a neutral effect on the level of economic activities. This paper examines the impact of different instruments of fiscal policy on economic growth and income inequality. Contractionary fiscal policy is when the government either cuts spending or raises taxes. Recent fiscal policy is expansionary to unprecedented levels. Our organizers have arranged the program for this conference in terms of three subjects. In this paper, we analyze the impact of fiscal shocks on the algerian economy using structural vector auto regression models. Pdf the impact of fiscal policy on the performance of. We simply used descriptive statistics to show contribution of government fiscal policy to economic growth, and to ascertain and explain growth rates, and an ordinary least square ols in a multiple form to ascertain the relationship between economic growth and government expenditure. Processes of fiscal management fiscal policy making fiscal policy is the heart of fiscal management.
Recent changes in policy research and in policy making call for a reassessment of countercyclical fiscal policy. Economy of a distributive conflict, the journal of north african studies, 71, 128. Votre avis facebook sur le journal info soir et sur lactualite. States through the tax impact on attracting foreign investment and increase employment of the population as is the case of slovakia in attracting hyundai to invest offering low taxes.
Q4 and showed that tax and government spending policies in malaysia are useful in pushing the output level. Sectoral impact of fiscal policy in malaysia 83 2011. So it looks like south africas fiscal policy is to spend spend spend and if we run out of money lets borrow money to spend spend spend. The mit press is a leading publisher of books and journals at the intersection of science, technology, and the arts. Pdf this study focuses on the empirical tests for the sustainability and. Pdf an empirical analysis of effectiveness of monetary.
Uganda is currently in an expansionary phase of its fiscal policy. Benefits to authors we also provide many author benefits, such as free pdfs, a liberal policy, special discounts on elsevier publications and much more. It is used in conjunction with the monetary policy implemented by central banks, and it influences the economy using the money supply and interest rates. Faculte des sciences economiques commerciale et des sciences. It provides the central framework for the mobilization, allocation and control of government financial resources shaw, 2005. Commitment to sound government remains committed to a sound and stable fiscal policy, public finances aimed at ensuring the sustainability of south africas economic transformation, promoting jobs and investment, and ensuring that. Most developing economies have corrupt and inefficient administrations that fail to implement the requisite measures visavis the implementation of fiscal policy.
The effectiveness of fiscal policy is an interesting field in literature of macroeconomics. Memoire online memoire sur le nouveau systeme comptable. Fiscal policy is how congress and other elected officials influence the economy using spending and taxation. On the other hand, the central government, with the help of local government, conducts the fiscal policy for the country. The old\nred sandstone policy of thinking that things are good\nenough now because they were good enough for the\nprimitive times of thirty years ago is played out and\nought to be shelved with those who hold to it. Fiscal policy requires efficient administrative machinery to be successful. It reduces the amount of money available for businesses and consumers to spend. The tension is straining the relations between the central and regional governments and affecting the.
There are major components to the fiscal policies and they are. The purpose of this paper is to investigate the effects of fiscal policy on economic growth under contributions from the differences in institutions and external debt levels. Article pdf available in journal of economic structures 8. This article aims at determining the impact of various components of fiscal policy on the nigerian economy. Pdf fiscal policy and economic growth in south africa. Unwarranted fears of unsustainable public debt and ultraconservative fiscal policy has cost the country a lost opportunity for achieving high growth. Monetary policy, financial conditions, and financial stability. The summer is coming on\nand with it tourists, it is hoped, so let us try and make\nthis beautiful city as attractive as possible. The data were sourced from central bank of nigeria, national bureau of statistics and world development index. The future of the cfa franc after 1999, part ii, by allechi mbet and niamkey a. Algerias fiscal policy was on an unsustainable path, in particular given the.
Quantifying possible payoffs of structural reforms in algeria. Drawing on the best of the recent work of the oecd working party of senior budget officials sbo, as well as special contributions from finance ministries of member countries and others, the journal provides insights on leadingedge institutional arrangements, systems and instruments for the effective and efficient allocation and management of resources in the public sector. The journal was started by researchers at the institute and aims to bridge the gap between academic research and policy. Lessons from thailands fiscal policy mit press journals. Fiscal policy that increases aggregate demand directly through an increase in government spending is typically called expansionary or loose. Enhancing sustainable fiscal policy in south africa. Lalgerie epuise ses reserves financieres tirees du petrole. Journal of economics and sustainable development, 49, pp. Response of banks to fiscal policy stimuli in nigeria. Fiscal studies is the journal of the institute for fiscal studies.
From 2000 to date, three phases are visible in ugandas fiscal policy. Consequences and limitations of recent fiscal policy in cote divoire, by kouassy oussou and bohoun bouabre, research paper 51. This paper describes the empirical regularities relating fiscal policy variables, the level of development, and the rate of growth. Contractionary fiscal policy south africas fiscal policy. Evidence from metropolitan, municipal and districts assemblies in central region. Fiscal policy, stabilization, and growth publications inter. Differently, the public choice theory assumed politicians to be people who use the fiscal policy framework to maximise their personal welfare, as opposed to social welfare. Economic policy may 2012 despite these important theoretical insights and strong demand by the policy process for estimates of fiscal multipliers, there is little1 empirical research trying to assess how the size of fiscal multipliers varies over the business cycle. The question of catalonian independence is once again receiving international attention.
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