The Role of Government Expenditure in Shaping ASEAN Economic Growth: A Panel Autoregressive Distributed Lag Approach

This study uses a quantitative technique to investigate the relationship between government spending and economic progress in ASEAN nations. The paper examines yearly secondary data from eleven ASEAN states between 2000 and 2022 using panel data analysis. The panel autoregressive distributed lag (ARDL) technique is employed in the study to identify long-term cointegrating correlations between variables. The findings demonstrate that government expenditure has a significant and positive long-term impact on economic growth, stressing the need of investing in ASEAN-wide economic and social development projects. However, the short-term effects of government spending appear to be minimal, owing to delays in collecting benefits from these expenditures.