THE INFLUENCE OF PUBLIC AND PRIVATE SECTOR INVESTMENT ON ECONOMIC GROWTH IN THE EUROPEAN UNION

Florin Teodor Boldeanu and Madalin Sebastian Ion
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Florin Teodor Boldeanu: Lucian Blaga University Doctoral Studies
Madalin Sebastian Ion: Lucian Blaga University Doctoral Studies

Annals of University of Craiova - Economic Sciences Series, 2015, vol. 1, issue 43, 219-228

Abstract: The objective of this working paper is to investigate the correlation between private and public sector investment and economic growth in the European Union. The analysis will be made between 1996 and 2012. This was a time of big changes for the European community, by the large number of states that were integrated and also by the turbulent times after the start of the economic crisis in 2008. A better understanding of the influences on economic growth by the public and private sectors will help policy makers in the EU to allocate more efficiently the financial resources. Our research will follow two major paths. One will be concentrated on the impact of the variables at national level and another will try to understand the effects of public and private sectors at regional level. The result of the analysis ought to show the bigger impact of the private sector on growth compared with the influence of public investment.

Keywords: public expenditure; public sector; private sector; economic growth; world governance index (search for similar items in EconPapers)
JEL-codes: C23 H11 H50 H76 (search for similar items in EconPapers)
Date: 2015
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Persistent link: https://EconPapers.repec.org/RePEc:aio:aucsse:v:1:y:2015:i:43:p:219-228

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