Table 7.
Granger causality Wald test for Model 1.
Source: Authors’ calculations
| Equation | Excluded | Chi2 | DF* | P-value |
|---|---|---|---|---|
| Gross domestic product | Net tax | 2058.9 | 4 | 0.000 |
| Central government expenditure | 3777.4 | 4 | 0.000 | |
| Local government expenditure | 318.72 | 4 | 0.000 | |
| Consumption | 2586.3 | 4 | 0.000 | |
| Trade balance | 413.56 | 4 | 0.000 | |
| Net tax | GDP | 460.5 | 4 | 0.000 |
| Central government expenditure | 980.22 | 4 | 0.000 | |
| Local government expenditure | 675.85 | 4 | 0.000 | |
| Consumption | 747.72 | 4 | 0.000 | |
| Trade balance | 61.702 | 4 | 0.000 | |
| Central government expenditure | GDP | 93.016 | 4 | 0.000 |
| Net Tax | 157.14 | 4 | 0.000 | |
| Local government expenditure | 92.632 | 4 | 0.000 | |
| Consumption | 118.18 | 4 | 0.000 | |
| Trade balance | 43.925 | 4 | 0.000 | |
| Local government expenditure | GDP | 1199 | 4 | 0.000 |
| Net Tax | 1076.6 | 4 | 0.000 | |
| Central government expenditure | 2334.1 | 4 | 0.000 | |
| Consumption | 666.76 | 4 | 0.000 | |
| Trade balance | 216.3 | 4 | 0.000 | |
| Consumption | GDP | 689 | 4 | 0.000 |
| Net Tax | 729.8 | 4 | 0.000 | |
| Central government expenditure | 1341.4 | 4 | 0.000 | |
| Local government expenditure | 166.08 | 4 | 0.000 | |
| Trade balance | 351.51 | 4 | 0.000 | |
| Trade balance | GDP | 518.28 | 4 | 0.000 |
| Net Tax | 592.37 | 4 | 0.000 | |
| Central government expenditure | 754.26 | 4 | 0.000 | |
| Local government expenditure | 1059.2 | 4 | 0.000 | |
| Consumption | 1024.8 | 4 | 0.000 |
*Degree of freedom