Fiscal Sustainability in BRICS Countries: Evidence from Asymmetric Unit Root Test Augmented with Fourier Function

• Autorzy: Andrew Phiri
• Języki publikacji: EN

Abstrakty

EN

The study's main focus is to demonstrate the importance of accounting for nonlinearities and unobserved structural breaks in testing for stationary in fiscal budgets. This is achieved by applying the KSS unit root tests augment with a flexible Fourier form to the fiscal budgets of BRICS counties. We find that when unit root tests do not account for structural breaks, the fiscal budgets tend to contain a unit root whereas when structural breaks are considered without accounting for nonlinearities the series ae stationary. Simultaneously accounting for asymmetries and unobserved structural breaks more effectively segregates the data into stationary and nonstationary series. (original abstract)

Słowa kluczowe

PL

Polityka fiskalna; Giętka forma Fouriera; Polityka budżetowa

EN

Fiscal policy; Flexible Fourier Form; Budgetary policy

• Czasopismo: Business and Economic Horizons
• Rocznik: 2019
• Numer: vol. 15, iss. 2
• Strony: 254-260

Twórcy

autor

Andrew Phiri

• Nelson Mandela Metropolitan University, South Africa

Bibliografia

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Identyfikatory

DOI

10.15208/beh.2019.15