The Role of Fiscal Policy in the Development of the Ghanaian Economy

Abstract

The purpose of this research was to review the influence or effect of fiscal policies on Ghana’s development based on a survey of the available literature. This was accomplished by conducting a systematic internet search using an array of keywords—fiscal policy, fiscal policy in Ghana, challenges of fiscal policy in Ghana, challenges of fiscal. We find that there is a large body of empirical research on the impact of fiscal policy on growth in Ghana, with varied results based on cross-sectional, time-series, and panel data. The economy benefited from government investments, transfer payments, and tax income, while government consumption had a negative impact.