Public Expenditure and Global Strain: Determinants and Structural Shifts in High-income Countries

Abstract Book of the 15th International Conference on New Ideas in Management, Economics and Accounting

Year: 2025

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Public Expenditure and Global Strain: Determinants and Structural Shifts in High-income Countries

Agata Szymańska

ABSTRACT:

Public expenditure, particularly in high-income economies, is shaped by a range of intensified global changes and transformations. These include challenges related to climate change, demographic shifts, economic development, and geopolitical dynamics. The presented study investigates changes in both the structure and the level of selected categories of public expenditure, as well as their evolution over time. Particular attention is devoted to the determinants of these changes in recent years, with an emphasis on economic and social factors. The analysis draws primarily on publicly available databases, including the World Bank’s World Development Indicators (WDI), the OECD, and Eurostat. The sample covers high-income OECD and EU economies. Furthermore, the study seeks to explore the relationships between public expenditure (total and disaggregated) and its determinants. The estimations of the relationships are conducted primarily using panel data models. The results will allow identifying the most significant recent changes in the structure of public expenditure, as well as the key drivers behind them. On this basis, the study formulates recommendations for policymakers and highlights areas in which actions should be intensified.

Keywords: Data Analysis, Dependent Population, Panel Data, Socio-Economic Determinants, Structure of Public Expenditure