|
| |
| Helder Ferreira de Mendonça and Ana Jordânia de Oliveira |
| |
| ''Openness and government size: A new empirical assessment'' |
| ( 2019, Vol. 39 No.2 ) |
| |
| |
| This paper provides a new empirical assessment of the relationship between openness and government size. Based on a sample of 124 countries for the period from 1980 to 2016, we estimate several panel data regressions. By the use of measures of trade openness, financial openness, and globalization, as well as samples of developing countries and high-income countries, we investigate the validity of compensation and efficiency hypotheses. The findings denote that while financial openness is not relevant to government size, trade openness and globalization cannot be neglected in the case of developing countries. |
| |
| |
| Keywords: trade openness, financial openness, globalization, government size |
JEL: F4 - Macroeconomic Aspects of International Trade and Finance: General
H5 - National Government Expenditures and Related Policies National Government Expenditures and Related Policies: General |
| |
| Manuscript Received : Mar 29 2019 | | Manuscript Accepted : May 02 2019 |
|
