ANALIZA MOŻLIWOŚCI ODDZIAŁYWANIA PAŃSTWA NA WZROST GOSPODARCZY W KONTEKŚCIE MAKSYMALIZACJI DOBROBYTU
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Date
2009
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Wydział Prawa i Administracji UAM
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ANALYSIS OF THE POSSIBILITY OF GOVERNMENT INFLUENCE ON THE ECONOMIC GROWTH IN THE CONTEXT OF THE MAXIMALISATION OF WELFARE
Abstract
The subject of this paper is an analysis of the possibility of a government to influence the
economic growth through a fiscal policy, in the extended framework o f a neoclassical model of
economic growth (with the accumulation of human capital). This model implies no relation between
social rates of investments in real and human capital and a long-term growth rate. It limits the
possibility of potential stimulating of the rate of growth by economic authorities only to the transitory
period, during which the economy moves from one balanced growth path to another. However, since
the positive influence of the accelerated accumulation of capital on the level of the long-term growth
path of the per capita product does not have to entail the increase of social welfare (measured by the
level of social per capita consumption), we raise a question about the optimal structure of budget
expenses in the division into public investments in real and human capital and consumption,
corresponding to a given structure of private sector expenses. Next we reject the assumption about the
exogenously given structure of expenses of private agents which means, inter alia, the absence of
reaction of these agents to changes in the fiscal policy of the government. The endogenous derivation
of the division of private incomes for investments and consumption from explicitly described
preferences of agents over (per capita) consumption streams may lead to the conclusion suggesting
total neutrality of the fiscal policy with regards to its influence on economic growth. At the last stage
of the analysis we demonstrate that this conclusion is becoming relativised, depending on the extent
to which private agents take into account the level of public consumption in their optimising decisions.
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Ruch Prawniczy, Ekonomiczny i Socjologiczny 71, 2009, z. 4, s. 173-194