Growth

Model

Short Run

Long Run

Long Run Total Effect

Variables, Effect and Consequence

GMB1

L1. 0.11 (0.6)

L2. 0.04 (0.7)

-

0.5

(0.11)

Growth variables, inflation

Long-run investment and capital stock effect

GP1

L1. 0.12 (0.4)

L2. 0.02 (0.8)

-

1.03

(0.02)*

Growth, inflation, interest

Inflation and interest rate effects in the long run

GP2

L1. 0.39 (0.0)***

L2. -0.25 (0.1)

0.46

(0.01)*

0.41

(0.04)*

Growth, inflation, interest, M1 and M3 variables

In the long run, the former growth effect

GM1

L1. 0.3 (0.0)***

L2. −0.07 (0.4)

0.48

(0.02)*

0.13

(0.5)

Growth, inflation, general spending, taxes

In the long run, previous growth, overall general expenditure effect