Fiscal Expenditure and Economic Growth in India: A Disaggregated Analysis
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The research results show that the scale of Indian fiscal expenditure has a small positive effect on economic growth. The output effect of defense,interest and medical subsidy is negative, while the growth effect of education and old-age service is positive. The growth effect of administrative expenditure is positive in the short term and negative in the long term. The effect of economic service expenditure is not significant in the short term but positive in the long term.
India; Economic Growth; Fiscal Expenditure; Scale; Structure