Abstract:
The study dealt with the effect of government expenditure on income in Sudan for the period 2005-2016. The problem was to clarify the role of government expenditure on the level of real national income. The problem was to clarify the role of government expenditure on the level of real national income. Using a econometric model. A model was created to identify the effect of government expenditure on national income. The model also included other variables that affect national income, namely consumption, investment and inflation, to compare them with the effect of government expenditure. The findings of the research show that there is a positive relationship between Government expenditure and national income. Government spending affects 28% of income while the impact of consumption is 27%. Investment or inflation adversely affect national income. Investment affects 12% and inflation by 15%. This study presents a number of recommendations, noting that there is disagreement in the data taken from the national sources, as the National Center for Statistics and the Central Bank of Sudan did not have the information and data needed by the research during the years 2005 - 2016 match. Please adjust and match the information. The results of the analysis show that the proportion of the effect of government spending on national income is equal to 28% during the years of study and this ratio is considered an estimated proportion so we recommend compliance with the rules We recommend in this research the adoption of appropriate monetary and monetary policies to ensure the greatest possible price stability and thus achieve the greatest benefits and meet the needs of society.
