Peacock and Wiseman's displacement hypothesis: some new long-run evidence for the UK

C-Tier
Journal: Applied Economics
Year: 2010
Volume: 42
Issue: 11
Pages: 1455-1460

Authors (2)

O. Henry (University of Liverpool) N. Olekalns (not in RePEc)

Score contribution per author:

0.503 = (α=2.01 / 2 authors) × 0.5x C-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

This article presents new evidence on the ability of Peacock and Wiseman's displacement hypothesis to explain temporal increases in the ratio of government expenditure to Gross Domestic Product (GDP) in the UK. Using univariate modelling techniques that are robust to structural changes in the underlying data generating process and a data set extending back to 1836, we find four instances where the ratio of expenditure to GDP displays an evidence of a structural break. Two of these breaks coincide with major social upheavals as predicted by the displacement hypothesis.

Technical Details

RePEc Handle
repec:taf:applec:v:42:y:2010:i:11:p:1455-1460
Journal Field
General
Author Count
2
Added to Database
2026-01-25