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dc.contributor.advisor Ncanywa, T. Seshoka, Pretty
dc.contributor.other Mongale, I. P. 2023-05-05T08:49:25Z 2023-05-05T08:49:25Z 2022
dc.description Thesis (M.Com. (Economics)) -- University of Limpopo, 2022 en_US
dc.description.abstract The primary goal of this study was to investigate the effects of budget deficit on fixed investment using annual data for the period 1990-2017 in selected African countries namely, Cameroon, Namibia, Ghana, Egypt, Seychelles, Mauritius, Botswana, Lesotho and South Africa. The study employed panel unit root tests including the Augmented Dickey-Fuller test, Philips Perron test and Levin Lin and chu test. The tests revealed that all the variables are integrated at 1st difference. The study further employed the Panel ARDL bounds test to examine the relationship between budget deficit, fixed investment, money supply and inflation. The empirical findings indicated that a long run relationship exists between the variables of interest. Furthermore, the results revealed that the budget deficit has a negative and statistically significant effect on fixed investment. A one percent increase in the budget deficit, ceteris paribus, leads to a reduction in fixed investment by 44 percent in the long run. The findings further postulated a bidirectional causal relationship between budget deficit and fixed investment, between money supply and fixed investment and between fixed investment and inflation. It was evident in the research that indeed the budget deficit is a problematic macroeconomic policy in African countries. Policy makers should limit high government expenditures as they contribute to increased and persistent budget deficits which crowd out private investment. en_US
dc.format.extent xi, 143 leaves en_US
dc.language.iso en en_US
dc.relation.requires PDF en_US
dc.subject Budget deficit en_US
dc.subject Gross fixed capital formation en_US
dc.subject Dumitrescu Hurlin panel causality en_US
dc.subject Panel ARDL en_US
dc.subject.lcsh Budget en_US
dc.subject.lcsh Budget deficits en_US
dc.subject.lcsh Expenditures, Public en_US
dc.subject.lcsh Tax and expenditure limitations en_US
dc.subject.lcsh Fixed-income securities en_US
dc.title The effects of budget deficit on fixed investment in selected African Countries en_US
dc.type Thesis en_US

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