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The Impact of Foreign Aid on Government Expenditure in Ethiopia26,99 €
Public spending is a key element of Ethiopia s macroeconomic policy given its importance in financing investment, consumption and its role in meeting the growing demand for social services. So far no recent research has been done in Ethiopia regarding the impact of sectoral spending on (agriculture, defense, education and health) on economic growth. In order to fill the gap, the author tried to analyze its impact using Vector Error Correction Model.