Evaluation of the Impact of Fiscal Policy on Ecuador's Economic Growth
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Abstract
The purpose of this paper is to evaluate the impact of fiscal policy, particularly the tax structure and public spending, on the economic growth of Ecuador during the period 2001-2023. In this regard, the research was developed through an econometric approach, where robust regression models were applied to analyze the relationship between the proposed variables. The results indicated that tax revenues have a positive impact on economic growth, while increases in public spending and private consumption are negatively correlated with GDP. The negative effect of public spending may suggest efficiency problems in resource management, and private consumption could be driven by excessive borrowing or directed towards non-productive goods. In conclusion, it is important to note that tax revenues, greater efficiency in public spending, and the promotion of productive investment can contribute to the country's economic growth.
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