Journal of Contemporary Issues in Business and Government

Abstract

Research on the impact of fiscal policy is a dire need in today’s economic world. In this
investigation, fiscal policy effectson economic growth have been explored.In this analysis,the
researcher examined the relationships using the secondary data source for the 1972-2019 data
series by employing Auto-Regressive Distributed Lagged Model (ARDL) and frequency domain
causality Testing to investigate the causal linkages between Fiscal Policy and Economic Growth in
Pakistan. The variables have been used as the budget deficit and economic growth as the core
variables of theresearch and concluded the negative association between the fiscal policy (budget
Deficit) and economic growth