ASYMMETRIC EFFECTS OF FISCAL POLICY VARIABLES ON ECONOMIC PERFORMANCE IN ECOWAS: ANGLOPHONE CASE

The study investigated the asymmetric effects of fiscal policy on economic growth in Anglophone countries of the Economic Community of West Africa States (ECOWAS). The annual panel data of Anglophone countries were used from 2005 to 2018. In doing so, the study employed a Structural Vector Autoregressive (SVAR) approach to extract the fiscal policy shocks series. The result showed that, in the long run, the asymmetric effect of government expenditure on economic performance follows a significant inverted U-shape while in the short run, the effect follows a non-significant U-shape. The government revenue follows a significant U-shaped in the long run while in the short run, it follows a non-significant linearity pattern.