The effects of public expenditures on labour productivity in Europe

Show simple item record Fedotenkov, Igor Gupta, Rangan 2021-05-19T05:52:05Z 2021-11
dc.description.abstract In this paper, we analyse the effects of public expenditures and their structure on productivity growth in industry and services in the European Union (EU) countries (1996–2017). We also control for the share of expenditures made by central governments. We find that productivity growth in industry decreases with government expenditures on environmental protection. As for services, productivity growth declines with military expenditures and increases with the centralisation of expenditures on public order and safety. These effects are mainly noted in Eastern European countries, and are less pronounced in Western Europe. Lower corruption increases productivity growth. Furthermore, our estimates suggest that there is a convergence in productivities across EU member states, with convergence faster in the service sector than in the industrial sector. These findings carry important policy implications. en_ZA
dc.description.department Economics en_ZA
dc.description.embargo 2022-03-27
dc.description.librarian hj2021 en_ZA
dc.description.uri en_ZA
dc.identifier.citation Fedotenkov, I., Gupta, R. The effects of public expenditures on labour productivity in Europe. Empirica 48, 845–874 (2021). en_ZA
dc.identifier.issn 0340-8744 (print)
dc.identifier.issn 1573-6911 (online)
dc.identifier.other 10.1007/s10663-021-09505-w
dc.language.iso en en_ZA
dc.publisher Springer en_ZA
dc.rights © 2021, The Author(s), under exclusive licence to Springer Science Business Media, LLC, part of Springer Nature. The original publication is available at en_ZA
dc.subject Labour productivity en_ZA
dc.subject Government expenditures en_ZA
dc.subject Decentralisation en_ZA
dc.subject Services en_ZA
dc.title The effects of public expenditures on labour productivity in Europe en_ZA
dc.type Postprint Article en_ZA

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