The tax–spending nexus: evidence from Romania using wavelet analysis

Mihai Mutascu

Post-Communist Economies, 2017, vol. 29, issue 3, 431-447

Abstract: This article investigates the relationship between government revenue and expenditure in Romania between 1991 and 2015 using the wavelet approach. The article presents detailed information for different sub-periods and frequencies, emphasising the lead–lag nexus between variables under cyclical and anti-cyclical shocks. The main findings show that using individual taxation techniques under structural reforms should control short-term budget deficits. Separately, when an economic crisis arises, expenditure adjustment is a more appropriate fiscal instrument. In the medium and long term, the taxation system for individuals is recommended to be used to control for budgetary deficits during crisis. At the same time, in the medium term, government expenditures also represent a suitable policy choice.

Date: 2017
References: View complete reference list from CitEc
Citations:

Downloads: (external link)
http://hdl.handle.net/10.1080/14631377.2017.1319170 (text/html)
Access to full text is restricted to subscribers.

Related works:
Working Paper: The tax–spending nexus: evidence from Romania using wavelet analysis (2017)
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:taf:pocoec:v:29:y:2017:i:3:p:431-447

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/CPCE20

DOI: 10.1080/14631377.2017.1319170

Access Statistics for this article

Post-Communist Economies is currently edited by Roger Clarke

More articles in Post-Communist Economies from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().