Budgetary Convergence in the WEAMU: Adjustment Through Revenue or Expenditure?
IMF Working Papers, June 1, 2000
Source details
- Canonical URL
- Budgetary Convergence in the WEAMU: Adjustment Through Revenue or Expenditure?
Other formats
Bibliographic details
- Authors: Jean-Claude Nachega, Ousmane Dore
- Published: June 1, 2000
- Series: IMF Working Papers
- DOI: https://doi.org/10.5089/9781451853209.001
Research question and context
- A regional convergence pact adopted by the Conference of Heads of States of WAEMU provides a framework for fiscal convergence similar to the European Union’s Maastricht Treaty.
- The paper investigates whether adjustment to meet the new convergence criteria in seven WAEMU member countries would be achieved through revenue changes or expenditure changes.
Methods
- Empirical approach: bivariate co-integration and error-correction models.
- Focus: relationship between revenue and expenditure in seven member countries of WAEMU.
Key findings (long-run causality results)
- Burkina Faso: causality running from revenue to expenditure.
- Senegal: causality running from revenue to expenditure.
- Benin: causality running from expenditure to revenue.
- Togo: causality running from expenditure to revenue.
- Côte d’Ivoire: bidirectional causality between revenue and expenditure.
- Mali: bidirectional causality between revenue and expenditure.
- Niger: no causality detected between revenue and expenditure.
Subjects and keywords
- Subject: Budget planning and preparation, Expenditure, Fiscal policy, Fiscal stance, Government debt management, Public financial management (PFM)
- Keywords: Budget planning and preparation, Co-integration, Convergence, Error-correction, expenditure data, expenditure decision, expenditure granger, expenditure move, expenditure objective, Fiscal stance, Government debt management, Granger causality, granger cause expenditure, outlays ECM, revenue, time series, West Africa, WP
Notable administrative items
- The working paper includes the standard IMF disclaimer: "This Working Paper should not be reported as representing the views of the IMF. The views expressed in this Working Paper are those of the author(s) and do not necessarily represent those of the IMF or IMF policy. Working Papers describe research in progress by the author(s) and are published to elicit comments and to further debate."
Source: IMF Working Paper "Budgetary Convergence in the WEAMU: Adjustment Through Revenue or Expenditure?" by Jean-Claude Nachega and Ousmane Dore, Working Paper No. 2000/109, June 1, 2000.
Content in this bundle
- Budgetary Convergence in the WAEMU: Adjustment Through Revenue or Expenditure - WP/00/109