Date of Publication : 08, Aug, 2019
Author: Zeraibi Ayoub
Co Author: Subhadeep Mukherjee , Muhammad Murtaza
The aim of this study is to investigate the relationship between government expenditure and Economic growth in the long run, using the Secondary data covering the period (1990-2016). The data was collected from China’s national statistics office. For analysis, the Auto-regressive distributed lag approach to co-integration (ARDL) and bounds test technique has been utilized. Our results show that there exists a signification relationship between government expenditure and the economic growth both in the long and short run, the results also indicate, the government expenditure is one of the major drivers on the economic growth. Same test show haven’t any signification relationship between the government expenditure and unemployment in the conclusion show the final result and some recommendation.
Keywords : National Expenditure, Autoregressive Distributed Lag, Development, Unemployment,