Theoretical and Applied Economics
No. 3 / 2017 (612), Autumn
Impact of fiscal responsibility legislations on state finances in India
Central University of Tamil Nadu, India
Abstract. The study aims to evaluate the impact of Fiscal Responsibility Legislations (FRLs) on state finances in India, considering the panel data for 28 states for the period 2000-01 to 2009-10. Fixed-effect and GLS for the random-effect model techniques are used to get regression coefficients. It is observed that the Fiscal Responsibility Legislations (FRLs) positively, affect the revenue receipts. The FRLs are effective in reducing the gross fiscal deficit and revenue deficit. The policy of FRBM is important to enhance states own revenues, check increasing expenditure and limit deficits under feasible targets. Furthermore, there is a need to develop institutional set up for effective monitoring of the fiscal performance of the state and review of Fiscal Responsibility and Budget Management targets.
Keywords: State finance, fiscal policy, revenue, deficit, panel data model.
Contents
- The European Union's strategy for increasing the living conditions of the population in the member states
Constantin ANGHELACHE
Mădălina Gabriela ANGHEL
- Does institutional environment
affect the economic development?
Evidence from selected CEE countries
Lejla TERZIĆ
- Causality between economic policy uncertainty and exchange
rate in China with considering quantile differences
Yin DAI
Jing-wen ZHANG
Xiu-zhen YU
Xin LI
- What impact has free trade area on economies of ASEAN-5 countries?
Abidin ÖNCEL
Raisal Fahrozi LUBİS
- Hard currency inflows and sterilization policy in Algeria:
An ARDL approach
Aissa DJEDAIET
Hicham AYAD
- Evaluating Indian economy’s vulnerability
to currency crisis
Mohana Rao BALAGA
Puja PADHI
- Does fiscal policy spur economic growth?
Empirical evidence from Algeria
Amal MATALLAH
Siham MATALLAH