The Impact of Government Size on Economic Growth

المؤلف

Faculty of Commerce, Tanta University

المستخلص

Driven by the observed growing government expenditure in Egypt, this study sets to test the non-linear relationship between government expenditure and economic growth and it tries to examine the existence of Armey curve in Egypt. We employ the smooth transition regression models (STR). The results show a non-linear relationship of the Armey curve in Egypt, in which the threshold effect corresponding to government final consumption expenditure share in GDP of about 13%.
 

الكلمات الرئيسية