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The impact of parties, economic growth, and public sector expansion

A Comparison of Long–term Dynamics in the Scandinavian and Anglo–american Democracies

Bibliographic Data

ID6258482
AuthorsTor Midtbø (0000-0001-6904-0260, University of Bergen, corresponding author)
Year1999
Volume35
Issue2
Pages199-223
Publication date1999-03-01
Peer ReviewedYes
Open AccessYes
TypeARTICLE
VenueEuropean Journal of Political Research (JOURNAL)
Journal identifiersISSN: 0304-4130 • E-ISSN: 1475-6765
PublisherWiley (PUBLISHER • GB)
DOI10.1111/1475-6765.00447
OpenAlexW2076972859
LanguageEN
Citations received6
References cited67

This paper discusses (1) the extent to which the partisan composition of government affects economic policies and macroeconomic outcomes, and (2) the interrelationship between public spending, taxation and economic growth. These two issues are connected. Since target variables and instruments affect each other reciprocally, the specification of the partisan model should encompass both a reaction function and an outcome function. A pooled vector autoregressive model suggests that during the last century left–wing governments in the United States, Britain and Canada have reinforced the growth of both public spending and GNP. Only public sector expansion is affected by partisanship in Denmark, Norway and Sweden. In the Anglo–American countries changes in spending occur before changes in economic growth in terms of a lagged crowding out effect. Spending and revenues appear to affect each other reciprocally. By contrast, public sector expansion in Scandinavia stimulates growth, while taxation leads spending

Affect (linguistics · Development economics · Economic expansion · Economics · Economy · Government (linguistics · Government revenue · Government spending · Macroeconomics · Market economy · Political science · Politics · Public economics · Public expenditure · Public finance · Public sector · Public spending · Revenue · Electoral Systems and Political Participation · Fiscal Policies and Political Economy · Fiscal Policy and Economic Growth · Finance

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Unique citing works6
Citations per year0,24
Citation span2001 - 2017 (17)
Citation velocityhistorical
Highly citedNo
Citation typesNeutral: 6

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