Date of Award
1-5-2007
Degree Type
Dissertation
Degree Name
Doctor of Philosophy (PhD)
Department
Economics
First Advisor
Dr. Sally Wallace - Chair
Second Advisor
Dr. Carrie L. Manning
Third Advisor
Dr. William J. Smith
Fourth Advisor
Dr. Mary Beth Walker
Fifth Advisor
Dr. James R. Alm
Sixth Advisor
Dr. Roy W. Bahl
Abstract
The objective of this dissertation is to test empirically whether fiscal policy mimicking exists in developing countries and whether such mimicking leads to policy harmonization. This is done by studying the Southern African Development Community (SADC) Region and Sub-Saharan Africa (SSA). The dissertation uses panel data and applies the generalized method of moments (GMM) and the generalized spatial two-stage least squares (GS2SLS) methodologies to a spatial setting to test for the spatial interactions. The study also tests for evidence of spatial interaction in the assessment of government efficiency by voters in neighboring countries, where efficiency is measured using the price/quantity ratio of public goods provision. We find evidence of fiscal policy copycat behavior in both the SSA and SADC regions and mimicking is also present in some tax revenues as well as in expenditure levels. This leads us to conclude that there is some form of fiscal harmonization taking place in these developing countries. We also find evidence of spatial interaction in the assessment of governments’ efficiency in the provision of public goods. Overall, we conclude that there is evidence of some fiscal mimicking behavior as a developing world phenomenon.
DOI
https://doi.org/10.57709/1061439
Recommended Citation
Mbakile-Moloi, Christine Ega, "Copycat Theory: Testing for Fiscal Policies Harmonization in the Southern African Coordinating Community (SADC) and Sub-Saharan Africa (SSA)." Dissertation, Georgia State University, 2007.
doi: https://doi.org/10.57709/1061439