Buoyant Capital Spending and Worries over Real Appreciation: Cold Facts from Algeria - HAL Accéder directement au contenu
Pré-publication, Document de travail Année : 2011

Buoyant Capital Spending and Worries over Real Appreciation: Cold Facts from Algeria

Résumé

The Government of Algeria has pursed a relatively expansionary fiscal policy in recent years, thanks to rising oil prices and revenues. The paper explores the potential effects of such a stance on real exchange rate and uncovers a relatively small appreciating effect of increased government capital expenditure. This is explained by the fact that a significant share of capital spending falls into tradable imported goods. However, the envisaged increase in capital spending, if well designed and implemented, might in the long-run translate into rising operations and maintenance expenditure—mostly nontradable goods—thereby causing a higher real appreciation. This implies that Algeria should carefully consider the implications of its public investment program on recurrent expenditure.
Fichier principal
Vignette du fichier
2008.04.pdf ( 288.29 Ko ) Télécharger
Origine : Fichiers produits par l'(les) auteur(s)
Loading...

Dates et versions

halshs-00556935, version 1 (18-01-2011)

Identifiants

  • HAL Id : halshs-00556935 , version 1

Citer

Kangni Kpodar, Boileau Loko, Oumar Diallo. Buoyant Capital Spending and Worries over Real Appreciation: Cold Facts from Algeria. 2011. ⟨halshs-00556935⟩
182 Consultations
242 Téléchargements
Dernière date de mise à jour le 20/04/2024
comment ces indicateurs sont-ils produits

Partager

Gmail Facebook Twitter LinkedIn Plus