Energy Subsidies and Social Public Expenditures in Emerging and Developing Countries

Bi Guessan Nestor BRITON, Zié BALLO


This article examines the effect of energy subsidies on social public expenditures for a sample of 57 emerging and developing countries over the period 2004-2019. The results of the system-based GMM approach reveal that energy subsidies negatively and significantly influence social public expenditures in the full panel, the poor, and resource-rich countries in our sample. These results confirm a political implication that consists in rationalizing energy subsidies in order to raise funds to support social public expenditures in emerging and developing countries.

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Applied Economics and Finance    ISSN 2332-7294 (Print)   ISSN 2332-7308 (Online)

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