Mofid University The Journal of Economic Studies and Policies 2423-4648 5 1 2018 05 22 Simultaneous impact of good governance and government spending elements on economic growth in MENA countries Simultaneous impact of good governance and government spending elements on economic growth in MENA countries 72 98 37008 FA Behzad Maleki PhD student of Economics, Lorestan University Mohammad Jafari Associate Professor, Faculty of Economics, Lorestan University, Khorramabad, Iran Shahram Fatahi Associate Professor, Faculty of Economics, Razi University, Kermanshah, Iran Hadi Ghafari Associate Professor of Economics and Faculty Member of Payame Noor University Journal Article 2018 09 29 Abstract: The purpose of the study is the simultaneous effect of good governance and governmental expenditures’ elements on economic growth in the MENA countries. To estimate the pattern, the generalized method of moment (GMM) was used from 2002 to 2017. The results show that good governance (weighted average of six indicators) and governmental expenditures have good and significant effect on economic growth. The effect of variables of gross national product (GNP) in the past times and opening of business is positive and significant on economic growth. The economic affairs and public affairs expenditures have negative and significant effect on economic growth. The effect of social expenditure variable is positive and significant on economic growth. Good governance index, which is derived from the combination of six existing indicators by main component analysis, is estimated in another model, which indicates a positive relationship with more impact on economic growth.<br /> Keywords: Good governance - Government expenditures elements- Economic growth- MENA area countries -GMM- <br /> GEL category: H50- H51- H89. Abstract: The purpose of the study is the simultaneous effect of good governance and governmental expenditures’ elements on economic growth in the MENA countries. To estimate the pattern, the generalized method of moment (GMM) was used from 2002 to 2017. The results show that good governance (weighted average of six indicators) and governmental expenditures have good and significant effect on economic growth. The effect of variables of gross national product (GNP) in the past times and opening of business is positive and significant on economic growth. The economic affairs and public affairs expenditures have negative and significant effect on economic growth. The effect of social expenditure variable is positive and significant on economic growth. Good governance index, which is derived from the combination of six existing indicators by main component analysis, is estimated in another model, which indicates a positive relationship with more impact on economic growth.<br /> Keywords: Good governance - Government expenditures elements- Economic growth- MENA area countries -GMM- <br /> GEL category: H50- H51- H89. https://economic.mofidu.ac.ir/article_37008_9313492d85a66aa6cfec9656fbb95629.pdf