The growth of government expenditure in three Caribbean countries, 1955-85: a test of two supply side hypotheses

Author(s): Mascoll, Clyde A (1989)

Created 24 Jul, 1989
Categories Working Papers
Views: 1938
This study analyses the growth of government expenditure as a proportion of national income in Barbados, Jamaica and Trinidad between 1955 and 1985 using the two leading supply side theories in the literature - Baumol's differential productivity' model and the Kau and Rubin's 'declining welfare' model. Given the insights from these two theories a single equation model is specified and a general to specific methodology along the lines of Hendry is employed to test the empirical validity of these supply-side explanations.

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