PUBLIC EXPENDITURE AND ECONOMIC GROWTH: AN EMPIRICAL ASSESSMENT FOR ALBANIAN ECONOMY

The main purpose of this work is analyzing the role played by public finance policies in stimulating economic growth in Albania. Based on endogenous growth theory models is assessed the role played by public expenditure in growth performance in Albania relative to other transition economies with similar patterns of developments. The main findings of this study are: that macroeconomic stability of a country, trade openness, and investment in infrastructure are the main factors that have supported growth performance