Causality between Income and Government Expenditure: A Broad International Perspective

Rati Ram

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Monetary Policy and Economic Impact Fiscal Policies and Political Economy Fiscal Policy and Economic Growth

Abstract

This paper develops and estimates a small new-classical model of the Greek economy using annual data from 1954 to 1980. The model is monetarist as the demand for output is derived from the demand for money function. In this model output is affected only by actual and anticipated monetary growth, whereas the price level is influenced by both actual and unanticipated changes in money supply, using single equation and simultaneous equation techniques.

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