How Does Public Debt Affect Economic Growth? Further Evidence from CEMAC Zone
Henri Njangang Ndieupa *
The Dschang School of Economics, Cameroon
*Author to whom correspondence should be addressed.
Abstract
The objective of this paper is to investigate the empirical effect of public debt on economic growth, using a sample of six Central African Economic and Monetary Community countries over the years from 2000 to 2016. The Hausman's test suggests that the fixed-effects model is preferable. However, in this research both fixed and random effects models are used. The empirical results show that public debt has an adverse and statistically significant effect on economic growth.
Keywords: Public debt, economic growth, CEMAC, panel data