278
Views
48
CrossRef citations to date
0
Altmetric
Original Articles

Tax-and-spend, spend-and-tax, or fiscal synchronization: new evidence for ten countries

Pages 1553-1561 | Published online: 05 Oct 2010

References

  • Ahiakpor , J. C. W. and Amirkhalkhali , S. 1988 . On the difficulty of eliminating deficits with higher taxes: some Canadian evidence . Southern Economic Journal , : 24 – 31 .
  • Akaike , H. 1974 . new look at the statistical model identification . IEEE Transaction on Automatic Control , AC-19
  • Anderson , W. , Wallace , M. S. and Warner , J. T. 1986 . Government spending and taxation: what causes what? . Southern Economic Journal , : 630 – 639 .
  • Baghestani , H. and Mcnown , R. 1992 . Forecasting the federal budget with time-series models . Journal of Forecasting , 11 : 127 – 139 .
  • Baghestani , H. and McNown , R. 1994 . Do revenues or expenditures respond to budgetary disequilibria? . Southern Economic Journal , : 311 – 322 .
  • Blackey , P. R. 1986 . Causality between revenues and expenditures and the size of the federal budget . Public Finance Quarterly , : 139 – 156 .
  • Buchanan , J. and Wagner , R. 1978 . Dialogues concerning fiscal religion . Journal of Monetary Economics , 4 : 627 – 636 .
  • Chang , T. and Fang , W. 1996 . The causal link between government revenues and government expenditures: Taiwan's experience , Report for NSC84-2415-H-035-016
  • Darrat , A. F. 1998 . Tax and spend, or spend and tax? an inquiry into the Turkish budgetary process . Southern Economic Journal , 64 : 940 – 956 .
  • Dickey , D. A. , Bell , W. R. and Miller , R. B. 1986 . Unit roots in time series models: tests and implications . The American Statistician , 40 : 12 – 26 .
  • Dickey , D. A. and Fuller , W. A. 1979 . Distribution of the estimators for autoregressive time series with a unit root . Journal of the American Statistical Association , 74 : 427 – 431 .
  • Dickey , D. A. and Fuller , W. A. 1981 . Likelihood ratio statistics for autoregressive time series with a unit root . Econometrica , 49 : 1057 – 1072 .
  • Enders , W. 1995 . Applied Econometric Time Series , 355 – 405 . New York : John Wiley & Sons, Inc .
  • Engle , R. F. and Granger , C. W. J. 1987 . Co-integration and error-correction: representation, estimation and testing . Econometrica , 55 : 251 – 276 .
  • Engle , R. F. and Yoo , B. S. 1987 . Forecasting and testing in cointegrated systems . Journal of Econometrics , 35 : 143-19
  • Friedman , M. 1978 . The limitations of tax limitation . Policy Review , : 7 – 14 .
  • Gonzalo , J. 1994 . Five alternative methods of estimating long-run equilibrium relationships . Journal of Econometrics , 60 : 203 – 233 .
  • Granger , C. W. J. 1969 . Investigating causal relations by econometric models and cross-spectral methods . Econometrica , 37 : 424 – 438 .
  • Granger , C. W. J. 1986 . Developments in the study of co-integrated economic variables . Oxford Bulletin of Economics and Statistics , 48 : 213 – 228 .
  • Granger , C. W. J. 1988 . Some recent developments in a concept of causality . Journal of Econometrics , 39 : 199 – 211 .
  • Granger , C. W. J. and Newbold , P. 1974 . Spurious regressions in econometrics . Journal of Econometrics , 2 : 111 – 120 .
  • Hasan , M. and Lincoln , I. 1997 . Tax then spend or spend then tax? Experience in the UK, 1961–1993 . Applied Economics Letters , 4 : 237 – 239 .
  • Hendry , D. F. 1986 . Econometric modeling with cointegrated variables: an overview . Oxford Bulletin of Economics and Statistics , : 201 – 212 .
  • Hsiao , C. 1979a . Autoregressiw modeling of Canadian money and income data . Journal of the American Statistical Association , : 553 – 560 .
  • Hsiao , C. 1979b . Causality tests in econometrics . Journal of Economic Dynamics and Control , 4 : 321 – 346 .
  • Hsiao , C. 1981 . Autoregressiw modeling and money-income causality detection . Journal of Monetary Economics , 7 : 85 – 106 .
  • Johansen , S. 1988 . Statistical analysis of cointegration vectors . Journal of Economic Dynamics and Control , 12 : 231 – 254 .
  • Johansen , S. and Juselius , K. 1990 . Maximum likelihood estimation and inference on cointegration—with applications to the demand for money . Oxford Bulletin of Economics and Statistics , 52 : 169 – 210 .
  • Jones , J. D. and Joulfaian , D. 1991 . Federal government expenditures and revenues in the early years of the American republic: evidence from 1792 to 1860 . Journal of Macroeconomics , 13 : 133 – 155 .
  • Koren , S. and Stiassny , A. 1998 . Tax and spend, or spend and tax? An international study . Journal of Policy Modeling , 20 : 163 – 191 .
  • Kremers , J. M. , Erisccos , N. R. and Dolado , J. J. 1992 . The power of cointegration tests . Oxford Bulletin of Economics and Statistics , 54 : 325 – 346 .
  • Kwiatkowski , D. , Phillips , P. C. , Schmidt , P. and Shin , Y. 1992 . Testing the null hypothesis of stationarity against the alternative of a unit root . Journal of Econometrics , 1 : 159 – 178 .
  • Mackinnon , J. 1991 . “ Critical values for cointegration tests in long-run economic relationships ” . In Readings in Cointegration , Edited by: Engle and Granger . Oxford University Press .
  • Manage , N. and Marlow , M. L. 1986 . The causal relation between federal expenditures and receipts . Southern Economic Journal , : 617 – 629 .
  • Marlow , M. and Mamage , N. 1987 . Expenditures and receipts: testing for causality in state and local government finances . Public Choice , 53 : 243 – 255 .
  • Meltzer , A. and Richard , S. 1981 . A rational theory of the size of government . Journal of Political Economy , 89 : 914 – 927 .
  • Miller , S. M. and Russek , F. S. 1990 . Co-integration and error correction models: temporal causality between government taxes and spending . Southern Economic Journal , 57 : 33 – 51 .
  • Musgrave , R. 1966 . “ Principles of budget determination ” . In Public Finance: Selected Readings , Edited by: Cameron , H. and Henderson , W. New York : Random House .
  • Nelson , C. R. and Plosser , C. I. 1982 . Trends and random walks in macroeconomic time series—some evidence and implications . Journal of Monetary Economics , 10 : 139 – 162 .
  • Newey , W. K. and West , K. D. 1987 . A simple, positive semidefinite heteroskedasticity and autocorrelation consistent covariance matrix . Econometrica , 3 : 703 – 708 .
  • Osterwald-Lenum , M. 1992 . A note with fractiles of the asymptotic distribution of the likelihood cointegration rank test statistics . Oxford Bulletin of Economics and Statistics , 54 : 889 – 895 .
  • Payne , J. E. 1997 . The tax-spend debate: the case of Canada . Applied Economics Letters , 4 : 381 – 386 .
  • Peacock , A. and Wiseman , J. 1961 . The Growth of Public Expenditures in the UK , Princeton, NJ : Princeton University Press .
  • Peacock , A. and Wiseman , J. 1979 . Approaches to the analysis of government expenditure growth . Public Finance Quarterly , 7 : 3 – 23 .
  • Phillips , P. and Perron , P. 1988 . Testing for a unit root in time series regression . Biometrika , 75 : 335 – 346 .
  • Ram , R. 1988 . Additional evidence on causality between government revenues and government expenditure . Southern Economic Journal , : 617 – 628 .
  • Ross , K. L. and Payne , J. E. 1998 . A reexamination of budgetary disequilibria . Public Finance Review , 26 : 67 – 79 .
  • Said , S. E. and Dickey , D. A. 1980 . Testing for unit roots in ARMA models of unknown order . Biometrika , 71 : 599 – 607 .
  • Schwert , G. W. 1989 . Tests for unit roots: a Monte Carlo investigation . Journal of Business and Economic Statistics , 7 : 147 – 159 .
  • Sims , C. A. 1980 . Macroeconomics and reality . Econometrica , 48 : 1 – 48 .
  • Sims , C. A. 1980 . Comparison of interwar and postwar business cycles: monetarism reconsidered . American Economic Review , 70 : 250 – 259 .
  • Sims , C. A. 1982 . Policy analysis with econometric models . Brookings Papers on Economic Activity , 1 : 107 – 152 .
  • Sims , C. A. 1986 . Are forecasting models usable for policy analysis . Federal Reserve Bank of Minneapolis Quarterly Review , 10 : 2 – 16 .
  • Stock , J. H. and Watson , M. W. 1988 . Testing for common trends . Journal of the American Statistical Association , : 1097 – 1107 .
  • Tano , D. K. 1993 . The added worker effect: a causality test . Economics Letters , 43 : 111 – 117 .
  • Thornton , D. L. and Batten , D. S. 1985 . Lag-length selection and tests of Granger causality between money and income . Journal of Money, Credit, and Banking , 17 : 164 – 177 .
  • Trehan , B. and Walsh , C. E. 1988 . Common trends, the government's budget constraint, and revenue smoothing . Journal of Economic Dynamics and Control , 12 : 425 – 444 .
  • von Furstenberg , G. M. , Green , R. J. and Jeong , J.-H. 1986 . Tax and spend, or spend and tax? . Review of Economics and Statistics , : 179 – 188 .

Reprints and Corporate Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

To request a reprint or corporate permissions for this article, please click on the relevant link below:

Academic Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

Obtain permissions instantly via Rightslink by clicking on the button below:

If you are unable to obtain permissions via Rightslink, please complete and submit this Permissions form. For more information, please visit our Permissions help page.