Government Expenditures in Kenya, 1950–2014: Determinants and Agricultural Growth Effects

IFPRI Discussion Paper 1774

64 Pages Posted: 4 Feb 2019

See all articles by Samuel Benin

Samuel Benin

International Food Policy Research Institute (IFPRI)

Sunday Odjo

International Food Policy Research Institute (IFPRI)

Date Written: November 29, 2018

Abstract

Annual data on Kenya from 1950 to 2014 are used to analyze the determinants of the level and composition of government expenditures and estimate the agricultural-output returns to the different types of government expenditures. The paper analyzes expenditures for six functions (general administration, defense, education, health, agriculture, and other economic functions — transport, communications, etc.) as well as the capital-to-recurrent expenditure ratios within each of the six functions. Simultaneous equations modeling methods are employed, and different diagnostic tests are used to check for and address issues with stationarity, causality, and autocorrelation. Different model specifications are used to assess the sensitivity of the results to using different measures and combinations of the conceptual variables that are hypothesized to affect the composition of government expenditures and agricultural production.

Keywords: Kenya, East Africa, Africa South of Sahara, Africa, Public Expenditure, Simultaneous Equation Analysis, Agricultural Growth, Government Expenditure

Suggested Citation

Benin, Samuel and Odjo, Sunday, Government Expenditures in Kenya, 1950–2014: Determinants and Agricultural Growth Effects (November 29, 2018). IFPRI Discussion Paper 1774. Available at SSRN: https://ssrn.com/abstract=3324556

Samuel Benin (Contact Author)

International Food Policy Research Institute (IFPRI) ( email )

1201 Eye St, NW,
Washington, DC 20005
United States

Sunday Odjo

International Food Policy Research Institute (IFPRI) ( email )

1201 Eye St, NW,
Washington, DC 20005
United States

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