GOVERNMENT DEBT AS A CONTRADICTORY FACTOR OF ECONOMIC GROWTH

Year 2016, Volume: 3 Issue: 4, 49 - 58, 31.10.2016

Anna Telnova

https://doi.org/10.15637/jlecon.173

Abstract

Article seeks to substantiate the hypothesis of contradictory impact of government debt on
economic growth. The objectives and related research methods are: empirical analysis and abstract
logical analysis of the impact of the level of government debt on economic growth; cluster analysis of
European countries in terms of their economic growth, government debt and government expenditure
on economic affairs. Substantiated positive impact on economic growth in the following cases:
constant or increasing in proportion to the GDP growth of government debt volume subject to gain or
maintain the level of government expenditure on economic affairs; government debt level of stability at
constant GDP increase and advance the government expenditure on economic affairs. 

Keywords

Economic Growth; Government Debt; Government Expenditure On Economic Affairs; Contradictory

References

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