The Impact of Government Size on Economic Growth | ||||
| التجارة والتمويل | ||||
| Article 15, Volume 35, Issue 1, March 2015, Page 31-44 PDF (629.88 K) | ||||
| DOI: 10.21608/caf.2015.127574 | ||||
 View on SCiNiTO | ||||
| Author | ||||
| ashrf lotfy elsayeed | ||||
| Faculty of Commerce, Tanta University | ||||
| Abstract | ||||
| Driven by the observed growing government expenditure in Egypt, this study sets to test the non-linear relationship between government expenditure and economic growth and it tries to examine the existence of Armey curve in Egypt. We employ the smooth transition regression models (STR). The results show a non-linear relationship of the Armey curve in Egypt, in which the threshold effect corresponding to government final consumption expenditure share in GDP of about 13%. | ||||
| Keywords | ||||
| Government size; Economic growth; Smooth threshold regression model | ||||
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