scholarly journals DEFISIT APBN DAN PEMULIHAN EKONOMI PASCA KRISIS

2013 ◽  
Vol 2 (2) ◽  
Author(s):  
Haryo Kuncoro
Keyword(s):  
Fiscal Policy ◽  
Income Elasticity ◽  
Government Expenditure ◽  
Private Investment ◽  
Crowding Out ◽  
Private Expenditure ◽  
Goods Market ◽  
Expenditure System ◽  
The Government ◽  
The Impact

This research attempts to analyze the impact of deficit fiscal policy on the private expenditure in the case of Indonesia over the post crisis 2000-09 periods. The analysis is based on the goods market equilibrium. The approach is designed to analyze whether the government expenditure crowds out the private expenditure. In order to reach the objective of the study,this researchused the Linear Expenditure System (LES) and compared to the Almost Ideal Demand System (AIDS). The estimation result of quarterly data shows that the government expenditure did not crowd out the private expenditure. The crowding out only occurs partially especially on the private investment. However, the government expenditure totally remains stimulating the private expenditures. This, in turn, leads to increase the gross domestic product. Those results indicate that the expansionary fiscal policy effectively affects to the economic growth especially after economic crisis in 1997. Even, the income elasticity was much greater than that in the pre-crisis periodsDOI: 10.15408/sjie.v2i2.2422

scholarly journals DEFISIT APBN DAN PEMULIHAN EKONOMI PASCA KRISIS

Media Ekonomi ◽  
2017 ◽  
Vol 20 (1) ◽  
pp. 47
Author(s):  
Haryo Kuncoro
Keyword(s):  
Economic Growth ◽  
Fiscal Policy ◽  
Government Expenditure ◽  
Private Investment ◽  
Demand System ◽  
Crowding Out ◽  
Almost Ideal Demand System ◽  
Private Expenditure ◽  
The Government ◽  
The Impact

<p>Governments play an important role in an economy. The role is presented by both its revenue and expenditure. The net difference of the revenue and expenditure, therefore, determines the type of fiscal policy implementation. This research attempts to analyze the impact of deficit fiscal policy on the private expenditure in the case of Indonesia over the postcrisis 2000-09 periods. The analysis is based on the goods market equilibrium. The approach is designed to analyze whether the government expenditure crowds out the private expenditure. In order to reach the objective of the study, I used the Almost Ideal Demand System (AIDS) and compared to the Generalized Almost Ideal Demand System (GAIDS). The estimation result of quarterly data shows that the government expenditure did not crowd out the private expenditure. The crowding out only occurs partially especially on the private investment. However, the government expenditure totally remains stimulating the private expenditures. This, in turn, leads to increase the gross domestic product. Those results indicate that the expansionary fiscal policy effectively affects to the economic growth especially after economic crisis in 1997. Even, the income elasticity was much greated than that in the precrisis periods. Furthermore, to keep the moment of sustainable economic growth in the long term, the government should conduct discipline fiscal policy based on the prudent principles and coordination and consistency between fiscal and monetary controls.<br />Keywords: Deficit, consumption, investment, government expenditure, crowding out</p>

scholarly journals Rearmament to the Rescue? New Estimates of the Impact of “Keynesian” Policies in 1930s' Britain

2013 ◽  
Vol 73 (4) ◽  
pp. 1077-1104 ◽  
Author(s):  
Nicholas Crafts ◽  
Terence C. Mills
Keyword(s):  
Government Expenditure ◽  
Private Investment ◽  
Public Works ◽  
Defense Spending ◽  
Fiscal Multiplier ◽  
Quarterly Data ◽  
Time Series Econometrics ◽  
Real Gdp ◽  
The Government ◽  
The Impact

We report estimates of the fiscal multiplier for interwar Britain based on quarterly data, time-series econometrics, and “defense news.” We find that the government expenditure multiplier was in the range 0.3 to 0.8, much lower than previous estimates. The scope for a Keynesian solution to recession was less than is generally supposed. We find that rearmament gave a smaller boost to real GDP than previously claimed. Rearmament may, however, have had a larger impact than a temporary public works program of similar magnitude if private investment anticipated the need to add capacity to cope with future defense spending.

Public and Private Spending: Some Australian Evidence

1995 ◽  
Vol 6 (1) ◽  
pp. 41-51
Author(s):  
Mehdi S. Monadjemi
Keyword(s):  
Public Investment ◽  
Government Expenditure ◽  
Private Investment ◽  
Crowding Out ◽  
Empirical Relationships ◽  
Public And Private ◽  
Investment Expenditure ◽  
Private Expenditure ◽  
Private Spending ◽  
The Relationship

This paper examines empirical relationships between government expenditure and private spending in Australia, to see whether government expenditure reduces, or crowds out, private expenditure or encourages it. Particular attention is paid to the effect on private investment expenditure and the possibility of a change occuring in the relationship between public and private is examined. Regression analysis found no significant evidence of crowding out. Public investment was found to compliment private investment in the period before 1974, but not in the period since then.

scholarly journals QUARTERLY OUTLOOK ON MONETARY, BANKING, AND PAYMENT SYSTEM IN INDONESIA: QUARTER I, 2017

2017 ◽  
Vol 19 (4) ◽  
pp. 355-384
Author(s):  
Bambang Pramono ◽  
Syachman Perdymer ◽  
Handri Adiwilaga ◽  
Nurkholisoh Ibnu Aman ◽  
Rio Khasananda ◽  
...  
Keyword(s):  
Export Performance ◽  
Government Expenditure ◽  
Commodity Prices ◽  
Private Investment ◽  
Export Demand ◽  
Global Trend ◽  
The Government ◽  
The Interest Rate ◽  
The Right ◽  
The Impact

Globally, the economy continues to recover. The economic growth in AS increases supported by solid consumption and increase on non-residential investment, as well as the economy of Tiongkok, supported by private investment and better export performance. European economy also better off with stronger consumption and export, and the reduction of geopolitical risk post the presidential election in France. The economy in Japan also increases supported by stronger domestic and export demand. This global trend supports the growth in Indonesia that rises to the level of 5,01% (yoy), with the pillars of exportperformance, better global demand and commodity prices, as well as higher government expenditure – particularly on investment – and the household consumption. Spatially, the national growth was mainly from Java and Kalimantan due to their better export performance. Inflation increases slightly particularly related to price regulation implemented in early 2017. Spatially, inflation occurs in most area except Sumatera who recorded deflation. The balance of payment recorded a surplus arisen from financial and capital surplus of 7.9 milliard dolar AS. However, the current account recorded deficit due to the deficit of oil trade balance and primary income. The reserve increases to 121.8 miliar dolar AS, accompanied with stronger Rupiah with lower volatility relative to peer countries. Following the monetary ease on previous Quarter IV, 2016, the monetary transmission is better yet not optimal due to the prudent practice of the bank on allocating credit. The interest rate decreases reflected on daily PUAB O/N reduction by 7 point to 4.23%. The deposit rate also decreases as well as the lending rate with larger decrease. Lookingforward, the growth in 2017 will be higher than 2016 on the range of 5.0 – 5.4%, while inflation will be around the target of 4 + 1%. We need to anticipate the impact of Fed Fund Rate increase, the lower of FED balance, and the trade and fiscal US policy, as well as the geopolitical dynamics across regions particularly in Korean Bay. Bank Indonesia will keep strengthening his policy mix and macroprudential, and his coordination with the government to ensure the inflation control, greater stimulus for growth, and the implementation of structural reform run on the right track, and hence preserve the sustainable economic development. 

scholarly journals Impact of Public Policy Shocks on Components of Aggregate Demand in Pakistan

2020 ◽  
pp. 95-111
Author(s):  
Saima Shafique ◽  
Muhammad Mansoor Ali ◽  
Saif Mujahid Shah
Keyword(s):  
Fiscal Policy ◽  
Aggregate Demand ◽  
Government Expenditure ◽  
Tax Revenue ◽  
Impulse Response Functions ◽  
Tax Rates ◽  
Policy Shocks ◽  
The Government ◽  
Tax Changes ◽  
The Impact

Fiscal policy has strong distributional effects as the alteration in tax rates and spending decisions cause different sectors of the economy to respond differently. Correct information about this reaction and understanding transmission mechanism is essential to create policies that can have development and growth effects. The study analyzed the impact of fiscal policy on disaggregated data of Pakistan in a SVAR setting. The analysis reveals an uneven distribution of fiscal policy shocks across different sectors of Pakistan with varying degrees of responsiveness. There is heterogeneity in the response of different sectors as well as components of aggregate demand in Pakistan to fiscal policy shocks as revealed in impulse response functions. It is results reveal that tax revenue shock generated a higher response in different sectors than the government expenditure shock conforming to the theoretical expectation that tax changes impact the agents faster than the expenditure decisions. This regressive behavior in Pakistan seems mostly due to higher spending on debt servicing and maintaining a large public sector with huge spending on pensions and social security networks.

INFLOW OF REMITTANCES AND PRIVATE INVESTMENT IN INDIA

2012 ◽  
Vol 57 (01) ◽  
pp. 1250004 ◽  
Author(s):  
HRUSHIKESH MALLICK
Keyword(s):  
Private Sector ◽  
Government Policy ◽  
Positive Impact ◽  
Significant Proportion ◽  
Private Investment ◽  
Output Growth ◽  
Crowding Out ◽  
Private Sector Investment ◽  
The Government ◽  
The Impact

Examining the impact of remittances on private investment, the study finds that remittances have an adverse impact on private investment and hence is apprehensive about its net positive impact on output growth in India. Therefore, the study suggests that the government policy should be designed toward inducing private sector to allocate more remittances for investments for leveling up the rate of economic growth. Otherwise, a significant proportion of remittances would result in increase in private consumption without desired contributory impact. The study also observes crowding out impact of public sector investment, while openness measure raises private sector investment.

ANALISIS FAKTOR YANG MEMPENAGRUHI PASAR MODAL DAN PEREKONOMIAN DI INDONESIA

2019 ◽  
Vol 1 (4) ◽  
Author(s):  
Yoki Wesya ◽  
Hasdi Aimon ◽  
Ariusni Ariusni
Keyword(s):  
Exchange Rate ◽  
Stock Price ◽  
Price Index ◽  
Positive Impact ◽  
Government Expenditure ◽  
Private Investment ◽  
Stock Price Index ◽  
The Government ◽  
The Impact ◽  
Index Exchange

This research aims to knows impact of composite stock price index, exchange rate and value of traded share to capital market and analyze the impact of capital market to indonesia’s economics using two stage least squares (TSLS). The first equation to seek the impact of composite stock price index, exchange rate dan and value of traded share to capitalism stock. The results of this research showed composite stock price index, exchange rate, value of traded share have significant positive impact to capitalism stock.. The second equation to seek the impact of consumption, government expenditure, capitalism stock, private investment and net export to Indonesia’s economic. The results of this research showed consumption have significant positive to Indonesia’s economic. Government Expenditure, Capitalism stock, Private investment, Net export  have unsignificant impact to indoneisa’s economic. From the results of this research we can suggest to the government give more attentiont indicators that able to support the indonesia’s economic and overcome negative side lowers the indonesia’s economic. And that the government will be able to control the investments made in order to have a positive impact to indonesia’s economic. And also expected for investors to further increase their investment so that increasing employment opportunities and making the indonesia’s economic.

scholarly journals Government Expenditure and Economic Growth Nexus: Evidence from Nigeria

2016 ◽  
Vol 5 (4) ◽  
pp. 56
Author(s):  
Oyediran, Leye Sherifdeen ◽  
Sanni, Ibrahim ◽  
Adedoyin, Lukman ◽  
Oyewole Olabode Michael
Keyword(s):  
Economic Growth ◽  
Capital Expenditure ◽  
Government Expenditure ◽  
Least Square ◽  
National Bureau ◽  
Fiscal Discipline ◽  
Secondary Sources ◽  
Economic Development And Growth ◽  
The Government ◽  
The Impact

The need to better the lots of citizens through government expenditure has raised questions on the impact of government expenditure on the economic development and growth of nations. It is against this background that this paper examined the antecedent effect of government spending on the Nigerian economic growth. The general objective of the study is to ascertain the relationship between government expenditure and economic growth in Nigeria; specifically, the study examined: (i) the significance influence of government capital expenditure on economic growth in Nigeria and (ii) the significance influence of government recurrent expenditure on economic growth in Nigeria. The study employed ordinary least square (OLS) multiple regression analysis in estimating the specified model, with the Gross Domestic Product (GDP) as the dependent variable, while Capital Expenditure (CAPEXP) and Recurrent Expenditure (REXP) are the independent variables. Data between 1980 – 2013 were collected from secondary sources through the National Bureau of Statistics (NBS) and Central Bank of Nigeria (CBN). Results showed that in Nigeria, there exist a significant relationship between the government expenditure and economic growth. The study therefore recommends instilling fiscal discipline in government expenditures, and putting in place structural mechanisms to act as surveillance on capital spending so as to boost the nation’s human and social capital.

scholarly journals Economic policy and confidence of economic agents – a causal relationship?

2020 ◽  
Vol 20 (4) ◽  
pp. 471-484
Author(s):  
Silvo Dajčman
Keyword(s):  
Fiscal Policy ◽  
Granger Causality ◽  
Government Spending ◽  
Government Expenditure ◽  
Policy Instruments ◽  
Consumer Confidence ◽  
Causality Analysis ◽  
Economic Agents ◽  
Business Confidence ◽  
The Government

AbstractThe purpose of this paper is to study whether innovations in monetary and fiscal policy are a leading indicator of future business and consumer confidence and reverse applying the panel Granger causality analysis to two periods in the history of the euro area: before and after the start of the Great Recession. The results show that Granger causality interaction between the confidence of economic agents and the stance of monetary policy (measured by the shadow rate) is stronger than between the former and the fiscal policy instruments. The European Central Bank (ECB) shadow rate innovations Granger caused business and consumer confidence in both periods, but also indicators of confidence Granger caused the shadow rate. No such feedback could be established between two fiscal policy instruments (government expenditure and revenue growth) and the indicators of confidence. Government spending and revenues Granger caused business confidence in the first subperiod, but not in the second subperiod when the causality reversed. The government revenues Granger caused consumer confidence in the first subperiod, while government expenditures in the second subperiod. Consumer confidence Granger caused government spending in the first subperiod.

scholarly journals Effect of Corporate Tax on Government Expenditure in Nigeria

2021 ◽  
Vol 1 (5) ◽  
pp. 157-171
Author(s):  
Patrick Ologbenla
Keyword(s):  
Income Tax ◽  
Consumer Price Index ◽  
Government Expenditure ◽  
Value Added ◽  
Corporate Income Tax ◽  
Value Added Tax ◽  
Independent Variable ◽  
The Government ◽  
The Impact ◽  
Bound Test

The study investigated the impact of corporate income tax on the government expenditure in Nigeria. Data on corporate income tax, value added tax, interest rate, gross domestic product, petroleum profit tax and consumer price index were collected and used as independent variable in the study while data on public expenditure were collected and used as independent variable in the estimated model. The ARDL bound test was applied and the result showed that corporate income tax have long run relationship that is significant with government expenditure. Other forms of tax such as value added tax and petroleum profit tax also have significant impact on government expenditure. The study concluded that corporate income tax should be sustained in order to ensure that government continue to fulfill her obligation of provision of social amenities that will promote the economic growth of the country.

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