Government Spending Multipliers in Developing Countries: Evidence from Lending by Official Creditors

doi:10.1257/mac.6.4.170

Publication:
Government Spending Multipliers in Developing Countries: Evidence from Lending by Official Creditors

dc.contributor.author	Kraay, Aart
dc.date.accessioned	2015-09-17T19:00:23Z
dc.date.available	2015-09-17T19:00:23Z
dc.date.issued	2014-10
dc.description.abstract	The author uses a novel loan-level dataset covering lending by official creditors to developing country governments to construct an instrument for government spending. Loans from official creditors typically finance multiyear public spending projects, with disbursements linked to the stages of project implementation. The identification strategy exploits the long lags between approval and eventual disbursement of these loans to isolate a predetermined component of public spending associated with past loan approval decisions taken before the realization of contemporaneous shocks. In a large sample of 102 developing countries over the period 1970-2010, the one-year spending multiplier is reasonably-precisely estimated to be around 0.4.	en
dc.identifier.citation	American Economic Journal: Macroeconomics
dc.identifier.doi	10.1596/22640
dc.identifier.issn	1945-7707
dc.identifier.uri	https://hdl.handle.net/10986/22640
dc.language.iso	en_US
dc.publisher	American Economic Association
dc.rights	CC BY 3.0 IGO
dc.rights.holder	American Economic Association
dc.rights.uri	http://creativecommons.org/licenses/by/3.0/igo
dc.subject	official lending
dc.subject	fiscal policy
dc.subject	government expenditure
dc.subject	monetary policy
dc.title	Government Spending Multipliers in Developing Countries	en
dc.title.subtitle	Evidence from Lending by Official Creditors	en
dc.type	Journal Article	en
dc.type	Article de journal	fr
dc.type	Artículo de revista	es
dspace.entity.type	Publication
okr.date.disclosure	2015-09-17
okr.date.doiregistration	2025-05-06T11:37:59.411079Z
okr.doctype	Publications & Research
okr.doctype	Publications & Research::Journal Article
okr.externalcontent	External Content
okr.globalpractice	Macroeconomics and Fiscal Management
okr.identifier.doi	10.1257/mac.6.4.170
okr.journal.nbpages	170-208
okr.language.supported	en
okr.peerreview	Academic Peer Review
okr.relation.associatedurl	https://www.aeaweb.org/articles.php?doi=10.1257/mac.6.4.170
okr.topic	Finance and Financial Sector Development::Concessional Finance and Global Partnerships
okr.topic	Macroeconomics and Economic Growth::Development Economics & Aid Effectiveness
okr.topic	Macroeconomics and Economic Growth::Fiscal & Monetary Policy
okr.topic	Macroeconomics and Economic Growth::Macroeconomic Management
okr.unit	DECMG
okr.volume	6(4)
relation.isAuthorOfPublication	fe7bc90f-4a13-5746-9efb-e11d3386cdf8
relation.isAuthorOfPublication.latestForDiscovery	fe7bc90f-4a13-5746-9efb-e11d3386cdf8