The Experts below are selected from a list of 207 Experts worldwide ranked by ideXlab platform
Anthony Enisan Akinlo - One of the best experts on this subject based on the ideXlab platform.
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Government Spending and National Income Nexus for Nigeria
The Global Journal of Business Research, 2013Co-Authors: Anthony Enisan AkinloAbstract:ABSTRACTThe paper investigates Wagner's law, the nexus between government spending and National Income in Nigeria over the period 1961-2009 in multivariate framework incorporating population size variable. The results provide support for Wagner's law in Nigeria. Moreover, there is a long-run relation among real government spending, real GDP and population size. A unidirectional causality runs from both real gdp and gdp per capita to government spending implying that expenditure rationalization policies may not necessarily have adverse effect economic growth. Finally, population has significant positive impact on government spending.JEL: E62KEYWORDS: Government Spending, National Income(ProQuest: ... denotes formulae omitted.)INTRODUCTIONThe relationship between public expenditure and National Income has been debated quite extensively in the literature, yet the direction of the causality relationship remains unresolved. The debate has centered on whether public expenditure causes National Income or National Income causes public expenditure; or whether a two-way relationship exists. From a policy point of view, the direction of causality between these variables has important implications. As an illustration, a finding that supports positive unidirectional causality running from National Income to public expenditure is a strong justification for government expenditure rationalization or cut for this finding suggest that the country is not dependent on public expenditure for growth and development. On the other hand, if unidirectional causality runs from public expenditure to National Income then reducing government expenditure could precipitate a fall in Income. What this implies is that the country's growth is driven by public expenditure and any negative shock leading to lower government expenditure will adversely impact National Income.As shown in figure 1, both government spending and gross domestic product increased sharply in Nigeria between 1961 and 2009. Government expenditure increased from eil63.9 million in 1961 to ei903.9 million in 1970. In 1980, the total government spending increased to N14,968.5 million. This figure increased sharply from N701,059.4 million in 2000 to M3,456,925.0 million in 2009. In the same way, gross domestic product used as proxy for National Income experienced significant increase over the period 1961-2009. It increased from N2,361.2 in 1961 to N5,281.1 million in 1970. The figure increased to N49,632.3 million in 1980. In 1987, the total GDP was Nl 05,222.8 million. However, the figure increased sharply to W,582, 127.0 million in 2000 and further to et 24,712,670.0 million in 2009.However, government has embarked on several reforms to reduce the huge government spending over the years. Government has announced several expenditure reduction measures with a view to reducing government fiscal deficits while encouraging increased private spending. To fully understand the implication of such policies, it is imperative to understand the relationship between government expenditure and economic growth. The purpose of this paper is to investigate the causal relationship between government spending and economic growth for Nigeria. This empirical exercise is important for Nigeria because it will allow us to deducewhether or not the Wagner's law, that is, the long-run tendency for public expenditure to grow relative to some National aggregates such as the National Income, holds in the country. On the basis of this knowledge, we will be able to recommend whether or not the policy of rolling back the government through reduced government expenditure is a viable option for the country.The remainder of this paper is organized as follows: In section 2, we provide a brief overview of previous empirical studies on nexus between government spending and National Income. Section 3 describes the methodology and data employed in estimation. Section 4 estimates and presents empirical results of the study. …
Caam Cees Withagen - One of the best experts on this subject based on the ideXlab platform.
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An economic theoretical perspective on green and sustainable National Income
2001Co-Authors: Caam Cees WithagenAbstract:Sustainable development is a widely accepted objective of economic policy making. In order to make decisions in accordance with this criterion there is great need for integrated indicators that provide a measure of sustainability in economic development. In the economic theoretical literature much attention has been given to the construction of such indicators related to National Income accounting. In this article a survey will be given of this literature. Another objective is to report on the progress made in the practice of National Income accounting.
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ON THE CONCEPT OF GREEN National Income
Oxford Economic Papers, 1996Co-Authors: N Vellinga, Caam Cees WithagenAbstract:The present paper generalizes the Weitzman/Hartwick approach to National Income accounting. We first establish a close general relation between the current value Hamiltonian of an optimal control problem and the optimal value of the objective integral if the time argument does not enter the constraints and enters the objective function only as a discount factor. This result is applied to a simple economic model covering most models found in the literature on National Income accounting involving pollution and non-renewable resources. We critically review the usefulness of net National product as a welfare indicator and as an indicator for sustainability.
Ariani Mintarti - One of the best experts on this subject based on the ideXlab platform.
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Measuring Economic Growth Through National Income Elasticity
'Atlantis Press', 2020Co-Authors: Sundari, Made Siti, Ariani MintartiAbstract:In the Industrial Revolution Era 4.0 all countries must face increasingly fierce competition from the flow of goods/services, labor, and capital. Exports and investments are the keys to National economic growth. All of this will affect the amount of National Income, which will determines the size of economic growth. The amount of National Income can be influenced by several factors, including exports and investments made. Through the concept of elasticity, people can clearly see the magnitude of the influence of the variable Foreign Investment (FDI) and Export (X) on National Income, in this case, GDP. The results of the calculation with the concept of elasticity show that when the Export and FDI variables increase, the GDP variable rises but not as much as the increase in Exports and FDI. The GDP response is a small or low response (inelastic). However, when the export and FDI variables go down, the GDP variable actually rises higher than changes in exports and FDI
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Measuring Economic Growth Through National Income Elasticity
2020Co-Authors: Sundari, Made Siti, Ariani MintartiAbstract:In the Industrial Revolution Era 4.0 as it is today, every economy is faced with increasingly fierce competition from the flow of goods / services, labor and capital. Free trade will be able to influence National Income (GNP). Exports and investments are the key to National economic growth. High exports will increase state revenues to finance economic development. The capital inflow in the form of foreign direct investment (FDI) will also increase, moreover accompanied by information technology that is so fast making it easy for investors to explore information, all this will affect the amount of National Income which ultimately determines the size of economic growth. One indicator of economic growth is the amount of National Income. The amount of National Income can be influenced by several factors including exports and investments made. Elasticity is a general concept used to see the response of a variable if other variables change. Through the concept of elasticity it will more clearly see the magnitude of the influence of the variable Foreign Investment (FDI) and Export (X) on National Income, in this case GDP. If the elasticity value is more than one (elastic), it is said to have a high influence or sensitivity (response). Conversely, if less than one (inelastic), the effect is small. The results of the calculation with the concept of elasticity show that when the Export and FDI variables increase, the GDP variable rises but not as much as the increase in Exports and FDI. The GDP response is small or a low response (inelastic). However, when the export and FDI variables go down, the GDP variable actually rises higher than changes in exports and FDI. This is influenced by factors besides Exports and FDI. Thus the magnitude of the response of GDP to changes in exports and FDI will affect therate of economic growth
Mark Gradstein - One of the best experts on this subject based on the ideXlab platform.
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National Income and trust
Review of Development Economics, 2020Co-Authors: Markus Brückner, Alberto Chong, Mark GradsteinAbstract:We explore whether National economic prosperity enhances mutual generalized trust. This is done using a panel data of multiple waves of the World Values Surveys, whereby National Income levels are instrumented for using exogenous oil price shocks. We find significant and substantial effects of National Income on the level of trust in the economy. In particular, a 1% increase in National Income tends to cause an average increase of 1 percentage point (or more) in the likelihood that a person becomes trustful. We also identify crime and corruption as potential mechanisms that may lead to the reported causal effect and explore heterogeneous effects across individuals.
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National Income and Trust
2019Co-Authors: Markus Brückner, Alberto Chong, Mark GradsteinAbstract:We explore whether National economic prosperity enhances mutual generalized trust. This is done using panel data of multiple waves of the World Values Surveys, whereby National Income levels are instrumented for using exogenous oil price shocks. We find significant and substantial effects of National Income on the level of trust in the economy. In particular, a one percent increase in National Income tends to cause an average increase of one-percentage point (or more) in the likelihood that a person becomes trustful. We also identify crime and corruption as potential mechanisms that may lead to the reported causal effect and explore heterogeneous effects across individuals.
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National Income and its distribution
Journal of Economic Growth, 2015Co-Authors: Markus Brueckner, Era Dabla Norris, Mark GradsteinAbstract:This paper revisits the effect of National Income on distributional equality. Although the link between the two has featured prominently in the literature, a causal effect has been difficult to pin down due to the endogeneity of these variables. We use plausibly exogenous variations in the Incomes of countries’ trading partners weighted by the level of trade flows, and interNational oil price shocks, as instruments for within-country variations in countries’ real GDP per capita. Controlling for country and time fixed effects, our instrumental variables regressions show that increases in National Income have a significant moderating effect on Income inequality: a 1 % increase in real GDP per capita reduces the Gini coefficient by around 0.08 percentage points on average. We document that education is one possible channel that mediates this relationship, and explore the implications of our findings for the welfare effect of National Income growth.
N Vellinga - One of the best experts on this subject based on the ideXlab platform.
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ON THE CONCEPT OF GREEN National Income
Oxford Economic Papers, 1996Co-Authors: N Vellinga, Caam Cees WithagenAbstract:The present paper generalizes the Weitzman/Hartwick approach to National Income accounting. We first establish a close general relation between the current value Hamiltonian of an optimal control problem and the optimal value of the objective integral if the time argument does not enter the constraints and enters the objective function only as a discount factor. This result is applied to a simple economic model covering most models found in the literature on National Income accounting involving pollution and non-renewable resources. We critically review the usefulness of net National product as a welfare indicator and as an indicator for sustainability.
