Macroeconomics Determinants of Fiscal Sustainability in the Asian Countries

Jawaria Zahid, Atif Khan Jadoon, Bisma Hamza and Muhammad Ali
Additional contact information
Jawaria Zahid: Scholar, School of Economics, University of the Punjab Lahore, Pakistan
Atif Khan Jadoon: School of Economics, University of the Punjab Lahore, Pakistan
Bisma Hamza: Independent Researcher, Beaconhouse System, Lahore, Pakistan
Muhammad Ali: Institute of Business Administration, University of the Punjab Lahore, Pakistan

Bulletin of Business and Economics (BBE), 2024, vol. 13, issue 1, 193-201

Abstract: The present study is designed to investigate how macroeconomic determinants of the South Asian region have affected the fiscal sustainability from 1980 to 2021. This study has used Newey and West (1987) robust standard errors approach to overcome the problem of autocorrelation and heteroscedasticity in panel data. The results of the statistical model confirmed the existence of fiscal sustainability in selective Asian countries. The significant contribution of the study is to obtain robust standard errors that rectify the issues of violation of simple regression analysis, which is the solution to all problems relevant to OLS regression. Furthermore, the results also confirmed that using macroeconomic determinants significantly improves fiscal sustainability. The results confirmed that macroeconomic factors contribute to fiscal sustainability. The study concluded that South Asian countries should use macro indicators as sources to achieve a higher fiscal sustainability rate.

Keywords: financial sustainability; budget deficits; public debt; inflation (search for similar items in EconPapers)
Date: 2024
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
https://bbejournal.com/BBE/article/view/686/608 (application/pdf)
https://bbejournal.com/BBE/article/view/686 (text/html)

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:rfh:bbejor:v:13:y:2024:i:1:p:193-201

DOI: 10.61506/01.00188

Access Statistics for this article

Bulletin of Business and Economics (BBE) is currently edited by Dr. Muhammad Irfan Chani

More articles in Bulletin of Business and Economics (BBE) from Research Foundation for Humanity (RFH) Contact information at EDIRC.
Bibliographic data for series maintained by Dr. Muhammad Irfan Chani ().