Budget cuts on investments: a brake on growth of WAEMU

Mamadou Diop
Additional contact information
Mamadou Diop: Chercheur associé au CREM, UMR CNRS 6211, University of Rennes 1, France

Economics Working Paper Archive (University of Rennes & University of Caen) from Center for Research in Economics and Management (CREM), University of Rennes, University of Caen and CNRS

Abstract: The Millennium World Summit defined the attainment of a 7 to 8% growth rate in 2015 by countries members of the WAEMU as one of the main priority for the authorities of the union. For that matter, governments decided to include fiscal policy in a long term dynamic perspective and to consider large development programs. This article estimates long term effects of fiscal policy on economic growth in the Union with the use of panel data. It also identifies the possible substitution effect between investment in the public and in the private sector. This study shows that there are limitations to the use of the IMF’s methodology for the computation of growth contributions in the analysis of fiscal policy effects on the long term process of wealth generation. It proposes a methodology for estimating panel data using moving averages and taking into account the average duration of the GDP of the area.

Keywords: Politique; budgétaire; –; Croissance; économique; –; Coupes; budgétaires; –; Données; de; Panel; –; Moyenne; mobile (search for similar items in EconPapers)
JEL-codes: C5 E6 (search for similar items in EconPapers)
Date: 2015-10
New Economics Papers: this item is included in nep-mac
References: Add references at CitEc
Citations:

Downloads: (external link)
https://ged.univ-rennes1.fr/nuxeo/site/esupversion ... 51-bf9a-006a6b97fae4 (application/pdf)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:tut:cremwp:201515

Ordering information: This working paper can be ordered from
CREM (UMR CNRS 6211) - Faculty of Economics, 7 place Hoche, 35065 Rennes Cedex - France

Access Statistics for this paper

More papers in Economics Working Paper Archive (University of Rennes & University of Caen) from Center for Research in Economics and Management (CREM), University of Rennes, University of Caen and CNRS CREM (UMR CNRS 6211) – Faculty of Economics, 7 place Hoche, 35065 RENNES Cedex. Contact information at EDIRC.
Bibliographic data for series maintained by GERMAIN Lucie ().