TOGOLESE ECONOMY: WHAT TEACHING ON THE THRESHOLD OF INDEBTEDNESS?
If it has been empirically demonstrated that public debt has a positive impact on investment and growth as long as it remains below a given optimal threshold, beyond that threshold, the debt becomes unsustainable. Thus, the purpose of this paper is to assess the optimal debt threshold and the contri...
| Main Author: | |
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| Format: | Article |
| Language: | Arabic |
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Noufissa EL MOUJADDIDI
2019-01-01
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| Series: | Revue des Etudes Multidisciplinaires en Sciences Economiques et Sociales |
| Subjects: | |
| Online Access: | https://revues.imist.ma/index.php/REMSES/article/view/12441 |
| _version_ | 1819177959330676736 |
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| author | Franck Essosinam KARABOU |
| author_facet | Franck Essosinam KARABOU |
| author_sort | Franck Essosinam KARABOU |
| collection | DOAJ |
| description | If it has been empirically demonstrated that public debt has a positive impact on investment and growth as long as it remains below a given optimal threshold, beyond that threshold, the debt becomes unsustainable. Thus, the purpose of this paper is to assess the optimal debt threshold and the contribution of the quality of institutions to the country's economic growth. The results of the estimates show that in the short and long run, the quality of institutions and inflation negatively affect economic growth, while external debt, government spending and trade openness have a positive and significant effect on economic growth. Note, however, that in the long run the negative effect of the quality of institutions is not significant.
The optimal debt threshold corresponds to the marginal impact of the debt, identified by the quadratic method. After evaluation, this threshold is approximately 83% (82.66%). This rate represents the level of debt beyond which the marginal impact of debt on economic growth becomes negative. |
| first_indexed | 2024-12-22T21:34:56Z |
| format | Article |
| id | doaj.art-256744baf54a4e3fb49f3dfddbcf41c9 |
| institution | Directory Open Access Journal |
| issn | 2489-2068 |
| language | Arabic |
| last_indexed | 2024-12-22T21:34:56Z |
| publishDate | 2019-01-01 |
| publisher | Noufissa EL MOUJADDIDI |
| record_format | Article |
| series | Revue des Etudes Multidisciplinaires en Sciences Economiques et Sociales |
| spelling | doaj.art-256744baf54a4e3fb49f3dfddbcf41c92022-12-21T18:11:48ZaraNoufissa EL MOUJADDIDIRevue des Etudes Multidisciplinaires en Sciences Economiques et Sociales2489-20682019-01-014110.48375/IMIST.PRSM/remses-v4i1.124419493TOGOLESE ECONOMY: WHAT TEACHING ON THE THRESHOLD OF INDEBTEDNESS?Franck Essosinam KARABOU0Université de KaraIf it has been empirically demonstrated that public debt has a positive impact on investment and growth as long as it remains below a given optimal threshold, beyond that threshold, the debt becomes unsustainable. Thus, the purpose of this paper is to assess the optimal debt threshold and the contribution of the quality of institutions to the country's economic growth. The results of the estimates show that in the short and long run, the quality of institutions and inflation negatively affect economic growth, while external debt, government spending and trade openness have a positive and significant effect on economic growth. Note, however, that in the long run the negative effect of the quality of institutions is not significant. The optimal debt threshold corresponds to the marginal impact of the debt, identified by the quadratic method. After evaluation, this threshold is approximately 83% (82.66%). This rate represents the level of debt beyond which the marginal impact of debt on economic growth becomes negative.https://revues.imist.ma/index.php/REMSES/article/view/12441h68o43f34 |
| spellingShingle | Franck Essosinam KARABOU TOGOLESE ECONOMY: WHAT TEACHING ON THE THRESHOLD OF INDEBTEDNESS? Revue des Etudes Multidisciplinaires en Sciences Economiques et Sociales h68 o43 f34 |
| title | TOGOLESE ECONOMY: WHAT TEACHING ON THE THRESHOLD OF INDEBTEDNESS? |
| title_full | TOGOLESE ECONOMY: WHAT TEACHING ON THE THRESHOLD OF INDEBTEDNESS? |
| title_fullStr | TOGOLESE ECONOMY: WHAT TEACHING ON THE THRESHOLD OF INDEBTEDNESS? |
| title_full_unstemmed | TOGOLESE ECONOMY: WHAT TEACHING ON THE THRESHOLD OF INDEBTEDNESS? |
| title_short | TOGOLESE ECONOMY: WHAT TEACHING ON THE THRESHOLD OF INDEBTEDNESS? |
| title_sort | togolese economy what teaching on the threshold of indebtedness |
| topic | h68 o43 f34 |
| url | https://revues.imist.ma/index.php/REMSES/article/view/12441 |
| work_keys_str_mv | AT franckessosinamkarabou togoleseeconomywhatteachingonthethresholdofindebtedness |