Assessment of the social expenditure impact on the economic growth in OECD countries
Economic growth is exposed to many socio-economic factors that impact both the formation and allocation of resources. The theoretical part of this article discusses studies by various authors on the social expenditure impact on economic growth, the dependence of this influence on selected funding pr...
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| Format: | Article |
| Language: | English |
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LLC "CPC "Business Perspectives"
2018-09-01
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| Series: | Problems and Perspectives in Management |
| Subjects: | |
| Online Access: | https://businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/10860/PPM_2018_03_Maliovanyi.pdf |
| _version_ | 1828958334263230464 |
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| author | Mykhaylo Malyovanyi Nataliia Ivanova Kateryna Melnyk Oleksandr Nepochatenko Oleksandr Rolinskyi |
| author_facet | Mykhaylo Malyovanyi Nataliia Ivanova Kateryna Melnyk Oleksandr Nepochatenko Oleksandr Rolinskyi |
| author_sort | Mykhaylo Malyovanyi |
| collection | DOAJ |
| description | Economic growth is exposed to many socio-economic factors that impact both the formation and allocation of resources. The theoretical part of this article discusses studies by various authors on the social expenditure impact on economic growth, the dependence of this influence on selected funding principles and social policy models. In the empirical part, using the Pooled Mean Group (PMG) procedure and the Fixed Effect Model, the impact of social expenditure on the economic growth in OECD countries is determined. An increased focus is put on assessing the long-term impact of the main types of social expenditures (public and private), based on different financing principles (distribution and accumulation), on the economic growth rates both in OECD in general and in the context of countries (based on the Esping-Andersen’s typology) grouped according to social policy models. The following conclusions are drawn: 1) an increase in the share of total social expenditures in the country’s GDP negatively affects economic growth; 2) an increase in the share of private social expenditures in the country’s GDP contributes to economic growth; 3) the obtained indicators of impact assessment are different depending on a social policy model chosen. The analysis is based on OECD panel data for the period 1980–2013. |
| first_indexed | 2024-12-14T08:47:03Z |
| format | Article |
| id | doaj.art-2c86f4e1988f47ac8ad69f7b47551ebe |
| institution | Directory Open Access Journal |
| issn | 1727-7051 1810-5467 |
| language | English |
| last_indexed | 2024-12-14T08:47:03Z |
| publishDate | 2018-09-01 |
| publisher | LLC "CPC "Business Perspectives" |
| record_format | Article |
| series | Problems and Perspectives in Management |
| spelling | doaj.art-2c86f4e1988f47ac8ad69f7b47551ebe2022-12-21T23:09:09ZengLLC "CPC "Business Perspectives"Problems and Perspectives in Management1727-70511810-54672018-09-0116338940510.21511/ppm.16(3).2018.3110860Assessment of the social expenditure impact on the economic growth in OECD countriesMykhaylo Malyovanyi0Nataliia Ivanova1Kateryna Melnyk2Oleksandr Nepochatenko3Oleksandr Rolinskyi4Doctor of Economics, Associate Professor, Vice-Rector of Uman National University of Horticulture, Ministry of Education and Science of UkrainePh.D. in Economics, Associate Professor, Uman National University of Horticulture, Ministry of Education and Science of UkrainePh.D. in Economics, Associate Professor, Uman National University of Horticulture, Ministry of Education and Science of UkrainePh.D. in Economics, Associate Professor, Uman National University of Horticulture, Ministry of Education and Science of UkrainePh.D. in Economics, Associate Professor, Associate Professor of Department of Finances, Banking and Insurance, Uman National University of Horticulture, Ministry of Education and Science of UkraineEconomic growth is exposed to many socio-economic factors that impact both the formation and allocation of resources. The theoretical part of this article discusses studies by various authors on the social expenditure impact on economic growth, the dependence of this influence on selected funding principles and social policy models. In the empirical part, using the Pooled Mean Group (PMG) procedure and the Fixed Effect Model, the impact of social expenditure on the economic growth in OECD countries is determined. An increased focus is put on assessing the long-term impact of the main types of social expenditures (public and private), based on different financing principles (distribution and accumulation), on the economic growth rates both in OECD in general and in the context of countries (based on the Esping-Andersen’s typology) grouped according to social policy models. The following conclusions are drawn: 1) an increase in the share of total social expenditures in the country’s GDP negatively affects economic growth; 2) an increase in the share of private social expenditures in the country’s GDP contributes to economic growth; 3) the obtained indicators of impact assessment are different depending on a social policy model chosen. The analysis is based on OECD panel data for the period 1980–2013.https://businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/10860/PPM_2018_03_Maliovanyi.pdfeconomic growtheconomic growth modelFixed Effect ModelPooled Mean Group (PMG) proceduresocial expendituresocial policy |
| spellingShingle | Mykhaylo Malyovanyi Nataliia Ivanova Kateryna Melnyk Oleksandr Nepochatenko Oleksandr Rolinskyi Assessment of the social expenditure impact on the economic growth in OECD countries Problems and Perspectives in Management economic growth economic growth model Fixed Effect Model Pooled Mean Group (PMG) procedure social expenditure social policy |
| title | Assessment of the social expenditure impact on the economic growth in OECD countries |
| title_full | Assessment of the social expenditure impact on the economic growth in OECD countries |
| title_fullStr | Assessment of the social expenditure impact on the economic growth in OECD countries |
| title_full_unstemmed | Assessment of the social expenditure impact on the economic growth in OECD countries |
| title_short | Assessment of the social expenditure impact on the economic growth in OECD countries |
| title_sort | assessment of the social expenditure impact on the economic growth in oecd countries |
| topic | economic growth economic growth model Fixed Effect Model Pooled Mean Group (PMG) procedure social expenditure social policy |
| url | https://businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/10860/PPM_2018_03_Maliovanyi.pdf |
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