The Research on the Dynamic Effect of the Government Expenditure on the Economic Growth in China

This paper regards the fiscal expenditure as a factor variable of the economic growth and deals with the long-time and dynamic effect of the fiscal expenditure exerting on the economic growth when economy is in stable equilibrium,based on the endogenous economic growth model including fiscal expenditure,which is derived from neoclassical economic growth theory and analyzes the dynamic effect value trough state space model and kalman filtering at the same time.The research results reveal that the value takes on inverted V-shape characteristics by and large from the year 1990 to 2010,reaching the peak in 1998.Therefore;to improve the efficiency and optimize the structure of the government expenditure is helpful to enhance the dynamic effect.