Impact Impact of Public Finances on Economic Growth: A Case Study of Punjab, Pakistan

Impact of Public Finances on Economic Growth: A Case Study of Punjab, Pakistan

Abstract

It is a long standing debate between Economists on the impact of public
finances; as some are in favor while others don’t want its impact on the
economy. By looking at the development experience of the province of
Punjab, this research will attempt to highlight the role that a provincial
Government had played (during the period from 1972 till 2014) in the
development of the province and hence the country, especially through the
size and composition of its expenditure. Using standard Keynesian model
with simple system estimation technique, this research will try to highlight
and estimate the impact of provincial public finances on economic growth.