<p>In <a href="https://onlinelibrary.wiley.com/doi/full/10.1111/1475-4932.12307?casa_token=SNEJjBqMsqgAAAAA%3A9_rRQHDGJNvBnsH9iyZ0ajdYJxBuYUW8pixCFpSKcEPpdJ-MBoLfgxLu7xRZ1tapvB4Ua6POYgFjQ2Vr" rel="nofollow noreferrer">Does Government Size Affect Per-Capita Income Growth? A Hierarchical Meta-Regression Analysis</a>, Churchill, Ugur and Yew write</p>
<blockquote>
<p>Since the late 1970s, the received wisdom has been that government size (measured as the ratio of total government expenditure to gross domestic product (GDP) or government consumption to GDP) is detrimental to economic growth. We conduct a hierarchical meta-regression analysis of 799 effect-size estimates reported in 87 primary studies to verify if this assertion is supported by existing evidence. Our findings indicate that the conventional prior belief is supported by evidence mainly from developed countries but not from less developed countries.</p>
</blockquote>

CC BY-SA 4.0
2021-07-30T07:37:06.473Z
Thanks. Interesting, will take a deeper look to see how this was measured.
Borut Flis
CC BY-SA 4.0
2021-07-30T07:37:37.847Z
Do you know of any studies with opposite findings?
Borut Flis
CC BY-SA 4.0
2021-07-30T08:13:59.143Z
@BorutFlis I am not familiar with this area of research at all, I just used Google Scholar to find a metaanalysis paper.
Giskard
CC BY-SA 4.0
2021-07-29T05:07:29.623Z
2021-07-29T05:07:29.623Z
Giskard
<p>Is there any analysis done to empirically determine the relationship between government size and prosperity of  a country?</p>
<p>I am not really that familiar with empirical economic research. But it is political argument you run into frequently.</p>
<p>What does the data say?</p>
<p>I would say there are several things to account for in such an analysis. Rich countries could become more dovish(??) and start spending on more on public services when they become rich, hence some correlation analysis would be useless. Also I assume increased spending in one year's budget increases output for that year, I am however more interested on long-term effects.</p>

CC BY-SA 4.0
2021-07-29T05:04:54.380Z
[Google scholar search for government size and economic growth](https://scholar.google.com/scholar?hl=en&as_sdt=0%2C5&q=government+size+and+economic+growth&btnG=&oq=government+size).
Giskard
CC BY-SA 4.0
2021-07-30T07:35:46.053Z
I know about google scholar, but thanks for the reference anyway.
Borut Flis
CC BY-SA 4.0
2021-08-02T13:06:41.893Z
How do you measure "government size"?
Criticize SE actions means ban
<reference-request><empirical-evidence><government-spending>
Research on the effect of government size on prosperity?
Borut Flis
# Research on the effect of government size on prosperity?

(Asked by: username_0 on 2021-07-29)

Is there any analysis done to empirically determine the relationship between government size and prosperity of a country?

I am not really that familiar with empirical economic research. But it is political argument you run into frequently.

What does the data say?

I would say there are several things to account for in such an analysis. Rich countries could become more dovish(??) and start spending on more on public services when they become rich, hence some correlation analysis would be useless. Also I assume increased spending in one year's budget increases output for that year, I am however more interested on long-term effects.

**Tags:** reference-request, empirical-evidence, government-spending

> **Comments:**
> **username_1**: [Google scholar search for government size and economic growth](https://scholar.google.com/scholar?hl=en&as_sdt=0%2C5&q=government+size+and+economic+growth&btnG=&oq=government+size).  
> **username_0**: I know about google scholar, but thanks for the reference anyway.  
> **username_2**: How do you measure "government size"?  

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## 1 answers

### Answer by username_1 on 2021-07-29. Score: 2 | Accepted answer

In [Does Government Size Affect Per-Capita Income Growth? A Hierarchical Meta-Regression Analysis](https://onlinelibrary.wiley.com/doi/full/10.1111/1475-4932.12307?casa_token=SNEJjBqMsqgAAAAA%3A9_rRQHDGJNvBnsH9iyZ0ajdYJxBuYUW8pixCFpSKcEPpdJ-MBoLfgxLu7xRZ1tapvB4Ua6POYgFjQ2Vr), Churchill, Ugur and Yew write

> Since the late 1970s, the received wisdom has been that government size (measured as the ratio of total government expenditure to gross domestic product (GDP) or government consumption to GDP) is detrimental to economic growth. We conduct a hierarchical meta-regression analysis of 799 effect-size estimates reported in 87 primary studies to verify if this assertion is supported by existing evidence. Our findings indicate that the conventional prior belief is supported by evidence mainly from developed countries but not from less developed countries.

> **Comments:**
> **username_0**: Thanks. Interesting, will take a deeper look to see how this was measured.  
> **username_0**: Do you know of any studies with opposite findings?  
> **username_1**: @username_0 I am not familiar with this area of research at all, I just used Google Scholar to find a metaanalysis paper.  

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