Munich Personal RePEc Archive

The Impact of Fiscal Deficit on Economic Growth: Using the Bounds Test Approach in The Case of Morocco.

Gyasi, Genevieve (2020): The Impact of Fiscal Deficit on Economic Growth: Using the Bounds Test Approach in The Case of Morocco.

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Abstract

The study employed the bounds test (ARDL) approach to cointegration to examine the long run and short run relationships between macroeconomic variables, fiscal deficit and economic growth in Morocco as the case study. The results show that fiscal deficit affect economic growth in the Moroccan economy in the long run as in the equilibrium correction was found to be significantly quick.

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