The Effect of Increasing Government Employment on Growth: Some Evidence from Africa
March 1, 1997
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Summary
In contrast to the experience in industrial countries, government sectors in a number of African countries grew rapidly in relative size through the 1980s and early 1990s, implying a differential between measured GDP growth and growth of private sector activity. In these countries, the government sector was also an important source of employment growth. Leaving aside issues of crowding out, boosting growth in this way raises questions of fiscal sustainability. It also urges caution in interpreting growth performance.
Subject: Economic sectors, Employment, Government debt management, Labor, Production, Production growth, Public employment, Public financial management (PFM), Public sector
Keywords: Africa, Employment, GDP, GDP ratio, government, government activity, Government debt management, government employment, government growth boost, government sector, growth, Production growth, Public employment, Public sector, Wagner’s Law, WP
Pages:
15
Volume:
1997
DOI:
Issue:
033
Series:
Working Paper No. 1997/033
Stock No:
WPIEA0331997
ISBN:
9781451979336
ISSN:
1018-5941
