Explaining the Real Size of Government in Australia: An Application of the Ferris and West Model

Brian Edward Dollery () and Sukvinder Singh
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Sukvinder Singh: University of New England, Armidale, NSW

Economic Analysis and Policy (EAP), 2000, vol. 30, issue 2, pages 157-173

Abstract: Empirical evidence on theories purporting to explain the size and growth of government is inconclusive. However, a new empirical approach developed by Ferris and West (1996) using real rather than nominal data seems to be promising in the light of their U.S. results. In order to determine the generality of their model, it is applied to Australian data for the period 1960 to 1995. The results provide insights into the factors affecting government size in Australia. The Ferris and West approach does not provide an adequate explanation of the real growth of government in Australia.

Date: 2000

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