Economic Determinants of Government Subsidies

The paper studies the economic determinants of government subsidies using panel data for 40 countries over 18 years (from 1975 to 1992) and finds that individual country-specific factors play a sizeable role in determining government subsidies. But it also suggests several characteristics—a small go...

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Bibliographic Details
Main Author: Clements, Benedict
Other Authors: Rodríguez, Hugo, Schwartz, Gerd
Format: eBook
Language:English
Published: Washington, D.C. International Monetary Fund 1998
Series:IMF Working Papers
Subjects:
Online Access:
Collection: International Monetary Fund - Collection details see MPG.ReNa
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100 1 |a Clements, Benedict 
245 0 0 |a Economic Determinants of Government Subsidies  |c Benedict Clements, Hugo Rodríguez, Gerd Schwartz 
260 |a Washington, D.C.  |b International Monetary Fund  |c 1998 
300 |a 32 pages 
651 4 |a France 
653 |a General Aggregative Models: General 
653 |a Total expenditures 
653 |a Government subsidies 
653 |a Econometric analysis 
653 |a Subsidies 
653 |a Public finance & taxation 
653 |a Proportions 
653 |a Logit models 
653 |a National accounts 
653 |a National income 
653 |a National Government Expenditures and Related Policies: General 
653 |a Discrete Regression and Qualitative Choice Models 
653 |a Expenditure 
653 |a Econometric models 
653 |a Expenditures, Public 
653 |a Macroeconomics 
653 |a Econometrics 
653 |a Econometrics & economic statistics 
653 |a Public Finance 
653 |a Discrete Regressors 
700 1 |a Rodríguez, Hugo 
700 1 |a Schwartz, Gerd 
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520 |a The paper studies the economic determinants of government subsidies using panel data for 40 countries over 18 years (from 1975 to 1992) and finds that individual country-specific factors play a sizeable role in determining government subsidies. But it also suggests several characteristics—a small government, a small external current account deficit, and a productive structure geared more toward services and agriculture than manufacturing—may make it easier to keep subsidy expenditures down. The paper also suggests that globalization and the associated increase in openness are not impediments to reducing subsidies. In itself, an IMF-supported adjustment program is found not to be a significant determinant of government subsidy expenditures