How and How Much? The Growth-Friendliness of Public Spending through the Lens

Alessandra Cepparulo and Gilles Mourre

No 132, European Economy - Discussion Papers from Directorate General Economic and Financial Affairs (DG ECFIN), European Commission

Abstract: The paper analyses the growth-friendliness of public spending in EU countries over the decade 2007-2016. It looks into the composition, performance and efficiency of public expenditure across countries and specific functions of government. This approach allows for some granularity in the analysis. Using a literature survey, semi-disaggregated composite indicators of performance and an efficiency frontier approach, the analysis provides a rich set of results on the quality of public spending, giving first indications on where room for improvements appears to be large. The overall results turn out fairly mixed, providing a nuanced picture of the growth-friendliness of public expenditure in the EU both in terms of level and change.

JEL-codes: C14 E62 H11 H50 (search for similar items in EconPapers)
Pages: 42 pages
Date: 2020-10
New Economics Papers: this item is included in nep-eec and nep-mac
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Persistent link: https://EconPapers.repec.org/RePEc:euf:dispap:132

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