Affiliation:
1. Faculty of Business, Economics and Accountancy Universiti Malaysia Sabah
Abstract
Public spending is considered an important tool in a government’s continuous efforts to
improve the delivery of the public sector and achieve growth objectives. The increasing
demand for higher expenditures may create a tax burden and pressurised the budgetary
allocation. This leads to the rising concern to evaluate the efficiency and effectiveness of
public expenditure. A highly efficient public sector will likely be able to produce more
outputs with less spending on inputs. Hence, the primary aim of this paper is to provide
a comprehensive review of the growing literature on public expenditure efficiency.
Against this background, an extended review will be discussed on the determinants that
influence the efficiency of public spending. As such, the objective of this paper can be
summarised to address the following key questions. Firstly, how to measure the efficiency
and effectiveness of public expenditure? Secondly, what are the determinants that
influence the efficiency of public spending? The answers to these questions will help solve
the recent problem of budget constraints faced by policymakers.
Publisher
UUM Press, Universiti Utara Malaysia
Subject
Education,Cultural Studies
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