{
  "title": "Economic Determinants of Government Subsidies",
  "publication": "IMF Working Papers, December 1, 1998",
  "sourceUrl": "https://www.imf.org/en/publications/wp/issues/2016/12/30/economic-determinants-of-government-subsidies-2836",
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  "summary": "The paper studies the economic determinants of government subsidies using panel data for 40 countries over 18 years (from 1975 to 1992) and finds that individual country-specific factors play a sizeable role in determining government subsidies.",
  "sections": [
    {
      "heading": "Summary and main findings",
      "content": "- The paper studies the economic determinants of government subsidies using panel data for 40 countries over 18 years (from 1975 to 1992).\n- Individual country-specific factors play a sizeable role in determining government subsidies.\n- Characteristics that may make it easier to keep subsidy expenditures down:\n  - a small government,\n  - a small external current account deficit,\n  - a productive structure geared more toward services and agriculture than manufacturing.\n- Globalization and the associated increase in openness are not impediments to reducing subsidies.\n- An IMF-supported adjustment program, in itself, is found not to be a significant determinant of government subsidy expenditures."
    },
    {
      "heading": "Data, methods, and scope",
      "content": "- Data: panel data for 40 countries over 18 years (from 1975 to 1992).\n- Methods and concepts referenced in the metadata: Econometric analysis, Logit models, subsidy equation, optimization problem.\n- Subject classifications listed: Econometric analysis, Expenditure, Government subsidies, Logit models, National accounts, Total expenditures.\n- Keywords provided: government, government assistance, government expenditures, government interest expenditures, government intervention, government subsidies, government subsidization policy, government subsidy expenditure, government transfer, interest expenditures, Logit models, non-resident government unit, optimization problem, subsidization policy, subsidy equation, subsidy expenditure, Total expenditures, WP."
    },
    {
      "heading": "Key statistics and publication metadata",
      "content": "- Pages: 32\n- Volume: 1998\n- Issue: 166\n- Series: Working Paper No. 1998/166\n- DOI: https://doi.org/10.5089/9781451979664.001\n- Stock No: WPIEA1661998\n- ISBN: 9781451979664\n- ISSN: 1018-5941\n- Publication date listed on the landing page: December 1, 1998\n- Authors: Benedict J. Clements, Hugo Rodríguez, Gerd Schwartz"
    },
    {
      "heading": "Policy implications and interpretation",
      "content": "- Policy focus implied by findings:\n  - Reducing the size of government may help contain subsidy expenditures.\n  - Maintaining a small external current account deficit may facilitate lower subsidy spending.\n  - Economic structures with greater emphasis on services and agriculture (relative to manufacturing) may be associated with lower subsidy expenditures.\n  - Openness and greater globalization need not be barriers to subsidy reduction.\n  - Participation in an IMF-supported adjustment program does not, by itself, predict lower or higher subsidy expenditures.\n\nIMF Working Papers — Economic Determinants of Government Subsidies (Working Paper No. 1998/166) — Benedict J. Clements, Hugo Rodríguez, Gerd Schwartz\n\n---\n\n Content in this bundle\n\n- wp98166\n  - wp98166 (Markdown version){rel=\"alternate\" type=\"text/markdown\"}\n  - wp98166 (PDF){rel=\"external\" type=\"application/pdf\"}\n\n---\n\nSource: https://www.imf.org/en/publications/wp/issues/2016/12/30/economic-determinants-of-government-subsidies-2836"
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    "Authors: Benedict J. Clements, Hugo Rodríguez, Gerd Schwartz",
    "Published: December 1, 1998",
    "Series: IMF Working Papers",
    "DOI: https://doi.org/10.5089/9781451979664.001",
    "The paper studies the economic determinants of government subsidies using panel data for 40 countries over 18 years (from 1975 to 1992).",
    "Individual country-specific factors play a sizeable role in determining government subsidies.",
    "Characteristics that may make it easier to keep subsidy expenditures down:",
    "Globalization and the associated increase in openness are not impediments to reducing subsidies.",
    "An IMF-supported adjustment program, in itself, is found not to be a significant determinant of government subsidy expenditures.",
    "Data: panel data for 40 countries over 18 years (from 1975 to 1992).",
    "Methods and concepts referenced in the metadata: Econometric analysis, Logit models, subsidy equation, optimization problem.",
    "Subject classifications listed: Econometric analysis, Expenditure, Government subsidies, Logit models, National accounts, Total expenditures.",
    "Keywords provided: government, government assistance, government expenditures, government interest expenditures, government intervention, government subsidies, government subsidization policy, government subsidy expenditure, government transfer, interest expenditures, Logit models, non-resident government unit, optimization problem, subsidization policy, subsidy equation, subsidy expenditure, Total expenditures, WP.",
    "Pages: 32",
    "Volume: 1998",
    "Issue: 166",
    "Series: Working Paper No. 1998/166",
    "DOI: https://doi.org/10.5089/9781451979664.001",
    "Stock No: WPIEA1661998",
    "ISBN: 9781451979664",
    "ISSN: 1018-5941",
    "Publication date listed on the landing page: December 1, 1998",
    "Authors: Benedict J. Clements, Hugo Rodríguez, Gerd Schwartz",
    "Policy focus implied by findings:",
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