Incidencia del gasto público en la economía ecuatoriana en el periodo 2007-2020.

Abstract

Public spending has become the main tool for the country's economic growth and development. However, there is evidence of an excessive use of spending, since revenues were exceeded causing a fiscal deficit, which led to a sustained increase in debt to contain the level of spending. In this way, the present research work aims at the incidence of public spending in the Ecuadorian economy in the period 2007-2020. The study is quantitative with a descriptive and correlational scope. The model used to perform the analysis was the error correction model (ECM) and the autoregressive model of linear distributed lags (ARDL) was also estimated to demonstrate the relationship in the short and long term. The relationship was analyzed by disaggregating public spending into current and capital spending and its impact on economic growth, in addition to using other variables such as the fiscal deficit and private investment. The results obtained show that current spending had a positive impact on economic growth in the long term, however, capital spending had a negative impact, since its execution was not carried out in the best way. Public investment was made with debt, it did not promote private investment and part of the public resources were diverted into premiums.