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This paper discusses the methodological problems in analyzing the determinants of government expenditure patterns, and the issues involved in making cross-country expenditure comparisons, and the problems confronting country economists in assessing a country’s expenditure profile. The results indicate the changes in different expenditure indices over time. The paper also provides a detailed description of the equations used to estimate the different expenditure shares and comment on any changes in the underlying structural relationships over 1975–86.
Publisher: International Monetary Fund