Journal of
Economics and International Finance

  • Abbreviation: J. Econ. Int. Finance
  • Language: English
  • ISSN: 2006-9812
  • DOI: 10.5897/JEIF
  • Start Year: 2009
  • Published Articles: 363

Full Length Research Paper

Budget balance through revenue or spending adjustments? An econometric analysis of the Ivorian budgetary process, 1960 - 2005

Yaya Keho
Ecole Nationale Supérieure de Statistique et d’Economie Appliquée (ENSEA) Abidjan-Côte d’Ivoire. 08 BP 03 Abidjan 08, Côte d’Ivoire
Email: [email protected]

  •  Accepted: 28 November 2009
  •  Published: 31 January 2010



This paper uses annual data for the period of 1960 - 2005 to investigate the causal relationship between government revenues and spending in Côte d’Ivoire. The empirical findings reveal a positive long-run unidirectional causality running from revenues to expenditures. This implies that achieving fiscal consolidation should focus more on reducing government spending rather than raising revenues.


Key words: Government expenditures, government revenues, cointegration, causality, Côte d’Ivoire.


JEL classification: E62 ; H61 ; C32.