Growth and productivity: The role of government debt

Bibliographic Details
Main Author: Afonso, António
Publication Date: 2013
Other Authors: Jalles, João Tovar
Format: Article
Language: eng
Source: Repositórios Científicos de Acesso Aberto de Portugal (RCAAP)
Download full: http://hdl.handle.net/10400.5/25593
Summary: We use a panel of 155 countries to assess the links between growth, productivity and government debt. Via growth equations we assess simultaneity, endogeneity, cross-section dependence, nonlinearities, and threshold effects.We find a negative effect of the debt ratio. For the OECD, the higher the debt maturity the higher the economic growth; financial crisis is detrimental for growth; fiscal consolidation promotes growth; and higher debt ratios are beneficial to TFP growth. The growth impact of a 10% increase in the debt ratio is −0.2% (0.1%) respectively for countries with debt ratios above (below) 90% (30%), and an endogenous debt ratio threshold of 59% can be derived.
id RCAP_12f082f59bf6e701f3d8066e00137571
oai_identifier_str oai:repositorio.ulisboa.pt:10400.5/25593
network_acronym_str RCAP
network_name_str Repositórios Científicos de Acesso Aberto de Portugal (RCAAP)
repository_id_str https://opendoar.ac.uk/repository/7160
spelling Growth and productivity: The role of government debtGovernment DebtCrisesPanel AnalysisWe use a panel of 155 countries to assess the links between growth, productivity and government debt. Via growth equations we assess simultaneity, endogeneity, cross-section dependence, nonlinearities, and threshold effects.We find a negative effect of the debt ratio. For the OECD, the higher the debt maturity the higher the economic growth; financial crisis is detrimental for growth; fiscal consolidation promotes growth; and higher debt ratios are beneficial to TFP growth. The growth impact of a 10% increase in the debt ratio is −0.2% (0.1%) respectively for countries with debt ratios above (below) 90% (30%), and an endogenous debt ratio threshold of 59% can be derived.ElsevierRepositório da Universidade de LisboaAfonso, AntónioJalles, João Tovar2022-09-26T09:53:59Z20132013-01-01T00:00:00Zinfo:eu-repo/semantics/publishedVersioninfo:eu-repo/semantics/articleapplication/pdfhttp://hdl.handle.net/10400.5/25593engAfonso, António and João Tovar Jalles. "Growth and productivity: The role of government debt".(2013). International Review of Economics & Finance Vol. 25: pp. 384-407.1059-056010.1016/j.iref.2012.07.004info:eu-repo/semantics/openAccessreponame:Repositórios Científicos de Acesso Aberto de Portugal (RCAAP)instname:FCCN, serviços digitais da FCT – Fundação para a Ciência e a Tecnologiainstacron:RCAAP2025-03-17T16:23:57Zoai:repositorio.ulisboa.pt:10400.5/25593Portal AgregadorONGhttps://www.rcaap.pt/oai/openaireinfo@rcaap.ptopendoar:https://opendoar.ac.uk/repository/71602025-05-29T04:12:38.923232Repositórios Científicos de Acesso Aberto de Portugal (RCAAP) - FCCN, serviços digitais da FCT – Fundação para a Ciência e a Tecnologiafalse
dc.title.none.fl_str_mv Growth and productivity: The role of government debt
title Growth and productivity: The role of government debt
spellingShingle Growth and productivity: The role of government debt
Afonso, António
Government Debt
Crises
Panel Analysis
title_short Growth and productivity: The role of government debt
title_full Growth and productivity: The role of government debt
title_fullStr Growth and productivity: The role of government debt
title_full_unstemmed Growth and productivity: The role of government debt
title_sort Growth and productivity: The role of government debt
author Afonso, António
author_facet Afonso, António
Jalles, João Tovar
author_role author
author2 Jalles, João Tovar
author2_role author
dc.contributor.none.fl_str_mv Repositório da Universidade de Lisboa
dc.contributor.author.fl_str_mv Afonso, António
Jalles, João Tovar
dc.subject.por.fl_str_mv Government Debt
Crises
Panel Analysis
topic Government Debt
Crises
Panel Analysis
description We use a panel of 155 countries to assess the links between growth, productivity and government debt. Via growth equations we assess simultaneity, endogeneity, cross-section dependence, nonlinearities, and threshold effects.We find a negative effect of the debt ratio. For the OECD, the higher the debt maturity the higher the economic growth; financial crisis is detrimental for growth; fiscal consolidation promotes growth; and higher debt ratios are beneficial to TFP growth. The growth impact of a 10% increase in the debt ratio is −0.2% (0.1%) respectively for countries with debt ratios above (below) 90% (30%), and an endogenous debt ratio threshold of 59% can be derived.
publishDate 2013
dc.date.none.fl_str_mv 2013
2013-01-01T00:00:00Z
2022-09-26T09:53:59Z
dc.type.status.fl_str_mv info:eu-repo/semantics/publishedVersion
dc.type.driver.fl_str_mv info:eu-repo/semantics/article
format article
status_str publishedVersion
dc.identifier.uri.fl_str_mv http://hdl.handle.net/10400.5/25593
url http://hdl.handle.net/10400.5/25593
dc.language.iso.fl_str_mv eng
language eng
dc.relation.none.fl_str_mv Afonso, António and João Tovar Jalles. "Growth and productivity: The role of government debt".(2013). International Review of Economics & Finance Vol. 25: pp. 384-407.
1059-0560
10.1016/j.iref.2012.07.004
dc.rights.driver.fl_str_mv info:eu-repo/semantics/openAccess
eu_rights_str_mv openAccess
dc.format.none.fl_str_mv application/pdf
dc.publisher.none.fl_str_mv Elsevier
publisher.none.fl_str_mv Elsevier
dc.source.none.fl_str_mv reponame:Repositórios Científicos de Acesso Aberto de Portugal (RCAAP)
instname:FCCN, serviços digitais da FCT – Fundação para a Ciência e a Tecnologia
instacron:RCAAP
instname_str FCCN, serviços digitais da FCT – Fundação para a Ciência e a Tecnologia
instacron_str RCAAP
institution RCAAP
reponame_str Repositórios Científicos de Acesso Aberto de Portugal (RCAAP)
collection Repositórios Científicos de Acesso Aberto de Portugal (RCAAP)
repository.name.fl_str_mv Repositórios Científicos de Acesso Aberto de Portugal (RCAAP) - FCCN, serviços digitais da FCT – Fundação para a Ciência e a Tecnologia
repository.mail.fl_str_mv info@rcaap.pt
_version_ 1833601983369445376

Similar Items