Social Spending and Economic Growth

Peter H. Lindert

Challenge, 2004, vol. 47, issue 4, pages 6-16

Abstract: Prevailing opinion holds that big government and high taxes reduce growth. Social programs are claimed to be a matter of social justice, even if they impede economic growth. But Peter Lindert in a new book argues that these claims are fiction. States that spend a lot on social programs grow no more slowly than those that spend little. He discusses his views and the evidence below.

Date: 2004
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