【亚开行】公共支出与包容性增长：跨经济体的实证分析-2025.10

PUBLICSPENDINGANDINCLUSIVEGROWTH

ANEMPIRICALANALYSISACROSSECONOMIES

GaziSalahUddin,AnhH.Le,Md.BokhtiarHasan,JohnBeirne,andDonghyunPark

NO.815

ADBECONOMICS

October2025

WORKINGPAPERSERIES

ASIANDEVELOPMENTBANK

ASIANDEVELOPMENTBANK

ADBEconomicsWorkingPaperSeries

PublicSpendingandInclusiveGrowth:AnEmpiricalAnalysisAcrossEconomies

GaziSalahUddin,AnhH.Le,Md.BokhtiarHasan,JohnBeirne,andDonghyunPark

No.815|October2025

TheADBEconomicsWorkingPaperSeries

presentsresearchinprogresstoelicitcommentsandencouragedebateondevelopmentissuesinAsiaandthePacific.Theviewsexpressed

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itsBoardofGovernorsorthegovernmentstheyrepresent.

GaziSalahUddin(gazi.salah.uddin@liu.se)isa

professoroffinancialeconomicsatLinköping

University,SwedenandNorwegianUniversityof

LifeSciences.AnhH.Le(le@imfs-frankfurt.de)

isaresearchaffiliateattheInstituteforMonetaryandFinancialStability,GoetheUniversityFrankfurt.

Md.BokhtiarHasan(bokhtiar_bank@)isanassociateprofessorattheIslamicUniversity,Bangladesh.JohnBeirne(jbeirne@)

isaprincipaleconomistandDonghyunPark(dpark@)isaneconomicadvisorattheEconomicResearchandDevelopmentImpactDepartment,AsianDevelopmentBank.

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ISSN2313-6537(print),2313-6545(PDF)PublicationStockNo.WPS250423-2

DOI:

/10.22617/WPS250423-2

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ABSTRACT

Weinvestigatetheeffectsofdifferentcomponentsofgovernmentspendingoninclusivegrowth.Morespecifically,weconsidertheinclusiveimpactofpublicspendingonenvironmentalprotection,health,education,housing,andsocialprotection,allofwhichcanconceivablypromoteinclusivegrowth.Forourempiricalanalysis,weapplypanelregressionsandlocalprojectionstoacomprehensivedatabaseof191economiesbetween1980and2023.Ourevidenceindicatesthatequity-promotinggovernmentspendingreducesincomeinequality,asmeasuredbytheGiniindex,andimproveshumandevelopmentindicators.Moreover,ouranalysisrevealsthatpoorerhouseholdsbenefitdisproportionately,suggestingthattargetedfiscalexpenditurescanpromoteequity.Notably,theinclusiveeffectsaremostpronouncedinadvancedeconomies,whererobustfiscalframeworkssupportandamplifysucheffects.Incontrast,emerginganddevelopingeconomiesexperiencemoremodestgains.Overall,thefindingshighlighttheimportanceofwell-designedpublicspendingprogramsforequitablegrowth.Finally,weconductstate-dependentlocalprojectionsandregionalsubsampleanalysis.

Keywords:governmentspending,inclusivegrowth,incomeinequality,developedanddevelopingeconomies

JELcodes:D63,E62,O23,O47

1INTRODUCTION

Givenrisingincomeinequalityaroundtheworld,inclusivegrowththatbenefitsthebroaderpopulationhasbecomeatoppriorityforacademicsandpolicymakers.Inparticular,theincomegapbetweentherichandthepoorwithineconomiesshowsnosignsofnarrowing[UnitedNations(UN)

1

].Inrecentdecades,incomedisparitieshavepersistedorevendeteriorateddespitesustainedeconomicgrowthinmanyeconomies(OECD,2015).Supportingthisobservation,Figure1illustratesasignificantreductioninincomeinequalitybetweeneconomiesfrom1980to2020,indicatingaconvergenceinaverageincomes.Conversely,incomeinequalitywithineconomieshasincreasedconsistentlyduringthesameperiod,demonstratingagrowingdisparitybetweenthetopandlowerearnergroups.Apotentiallypowerfultoolforgovernmentstopromotealessunequalincomedistributionispublicspending.Forexample,publicspendingoneducationhelpstoleveltheplayingfieldforthepoor.Fiscalpolicycanaffectresourceallocationandincomedistribution,therebycontributingtoachievingmoreinclusivegrowthandreducinginequality(Clementsetal.,2025).However,theeffectivenessoffiscalspendinginachievingthesegoalsremainsunclear.Moreover,earlierstudiesoftenfindthattheimpactvariesacrosseconomycontexts,especiallyindevelopedversusdevelopingeconomies(MallaandPathranarakul,2022).Ourstudycontributestotheimportantliteratureonthelinkbetweenfiscalpolicyandinclusivegrowthbytakinganin-depthlookathowdifferenttypesofpublicspendingaffectinclusivegrowth.

Figure1:GlobalIncomeInequality:Between-EconomyVersusWithin-EconomyInequality

(1820–2020)

Note:T10/B50istheratiooftheaverageincomesofthetop10%andthebottom50%.

Sources:WorldInequalityLab.wir2022.wid.world/methodologyandChancelandPiketty(2021).

1

/en/un75/inequality-bridging-divide

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Theassociationbetweenfiscalspendingandinequalityismultifacetedandheavilyaffectedbyaneconomy’sinstitutional,economic,andsocialstructures.Totalpublicexpenditureshavetraditionallybeenviewedasaredistributivemechanismthatcouldreduceinequality(DoumbiaandKinda,2019).However,recentstudiesindicatethattheinfluenceofpublicspendingoninequalitynotonlydependsonitssize,butalsoonefficiencyandcomposition(Chuetal.,2000;Adarovetal.,2024).Morespecifically,governmentspendingoneducation,healthcare,andsocialprotectionhasasignificantpotentialtofosterinclusivegrowthbyalleviatingpoverty,ensuringequalopportunities,andaugmentingthecapabilitiesofdisadvantagedgroups(Clementsetal.,2022).However,inreality,theinclusiveimpactofsuchexpendituresvarieswidelyacrosseconomies.

Thestylizedfactsofthefiscalspending–inequality–inclusivegrowthnexusarepresentedinFigures2and3andTableA1intheAppendix.

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Mosteconomieswiththelowestinequalitytendtohaverelativelyhighpublicexpenditure(%ofgrossdomesticproduct(GDP))alongwithhighinequality-adjustedHumanDevelopmentIndex(HDI)scores.Thispatternmayreflecttheimpactofequity-promotingfiscalpoliciesoninclusivegrowthandmoreequalincomedistributions.Atthesametime,mosteconomieswiththehighestincomeinequalityshowlowerpublicspendingandmarkedlylowerHDIscores.Furthermore,thespendingtypestatistics(Figure3)indicatethatexpendituresoneducation,health,andsocialprotectionaremorepronouncedinlowincomeinequalitynations.Thissupportsthehypothesisthattargetedspendingiscriticalindrivinginclusivegrowth(Clementsetal.,2022).However,therelationshipbetweenpublicspendingandinequalityisuneven.Forexample,somenationswithhightotalpublicspending,suchasBrazilandNamibia,stillhavehighinequalityandlowHDIscores.Incontrast,theUnitedArabEmirateshasrelativelylowpublicexpenditureyetenjoyslowinequalityandahighHDI.Thisindicatesthathighpublicspendingalonedoesnotguaranteeequitableincomedistribution.Thisraisessomevitalresearchquestions.Doesspendingcompositionmattermorethansize?Whatroledoinstitutionalqualityandeconomicstructureplay?Andhowcanfiscalpolicybedesignedtooptimizeitsinclusiveimpact?

2TheAppendixisavailableat

/10.22617/WPS250423-2

.

3

Figure2:TotalPublicSpending,InclusiveGrowth,andIncomeInequality

Top10CountrieswiththeLowestInequalityin2022

TotalPSandGiniindex

70

60

50

40

30

20

10

0

1.000.900.800.700.600.500.400.300.200.10

0.00

Totalpublicspending(%ofGDP)——Giniindex(%)——HDI(Inequalityadjusted)

Top10CountrieswiththeHighestInequalityin2022

TotalPSandGiniindex

70

60

50

40

30

20

10

0

0.700.600.500.400.300.200.10

0.00

Totalpublicspending(%ofGDP)——Giniindex(%)——HDI(Inequalityadjusted)

GDP=grossdomesticproduct,HDI=HumanDevelopmentIndex,PS=publicspending,UAE=UnitedArabEmirates.

Notes:Thefigureshowsthenexusbetweentotalpublicspending(PS)(%ofGDP),inclusivegrowth(measuredbyinequality-adjustedHDI),andincomeinequality(measuredbytheGiniindex(%)).

Source:Authors’calculations.

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Figure3:SectoralPublicSpendingandIncomeInequality

Top10CountrieswiththeLowestInequalityin2022

Giniindex

23.5

23.0

22.5

27.0

26.5

26.0

25.5

25.0

24.0

24.5

25

20

15

10

5

0

Sectoralspending

GiniCoefficient(%)

HealthSpending(%ofGDP)

EducationSpending(%ofGDP)Socialspending(%ofGDP)

Top10CountrieswiththeHighestInequalityin2022

Giniindex

70

60

50

40

30

20

10

0

16

14

12

10

8

6

4

2

0

Sectoralspending

EducationSpending(%ofGDP)Socialspending(%ofGDP)

GiniIndex(%)

HealthSpending(%ofGDP)

GDP=grossdomesticproduct,UAE=UnitedArabEmirates.

Notes:Thefigureshowsthenexusbetweensectoralpublicspending(%ofGDP):Education,health,andsocial,andincomeinequality(measuredbytheGiniindex(%)).

Source:Authors’calculations.

Despiteextensiveresearchonfiscalspendingandinclusivegrowth,thesequestionsstillremainunsolved,underscoringasignificantgapintheexistingliterature.PleaserefertoSection2foramoredetaileddiscussionoftheliterature.Althoughmanyearlierstudies(e.g.,Cliftonetal.,2020;Clementsetal.,2022)examinedpublicspendingcategoriessuchaseducation,health,andsocialwelfare,analysisofothercategoriessuchasenvironmentalprotection,housingandcommunitydevelopment,andrecreationandcultureislimited.Yettheseothertypesoffiscalspendingcansubstantiallyaffectequity.Forexample,environmentaldeteriorationdisproportionatelyaffectsthepoor(ESCAP,2018).Likewise,poorhousingandcommunityservicesrestrictsocialandeconomicinclusion(WanjiruandPahari,2024).

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Furthermore,mostexistingresearchfailstocapturethepotentialnonlinearityoftheimpactofdifferenttypesoffiscalexpendituresondifferentincomegroups.Thisrestrictsourunderstandingofhowvariousformsofpublicexpenditureinfluencedemographicgroups.Forexample,morespendingonhighereducationmaybenefithigh-incomehouseholdsmorethanlow-incomehouseholds(AriasandKheyfets,2023).Therefore,amorecomprehensivestudyisrequiredtoassessthedistributionaleffectsofdifferenttypesofpublicspendinganddesignpoliciesthateffectivelytargetandhelpunderprivilegedpeople.Anothermajorgapintheexistingliteratureistherelativelyscarceempiricalanalysisofthelinkbetweendisaggregatedfiscalspendingandinclusivegrowthacrossdifferenteconomygroups,mostnotablyindevelopedversusdevelopingeconomies.Fiscalpolicycandiffersignificantlybetweendevelopedanddevelopingnations,whichfacedifferentchallengesandopportunitiesforinclusivefiscalpolicy.Forexample,insufficientfiscalspace,poorinstitutions,andstructuralinequitiescanlimitequity-promotingpublicexpenditureinemerginganddevelopingeconomies(Danieletal.,2006).

Ourpapermakesanumberofnovelcontributionstotheliteratureonfiscalspendingandinclusivegrowth.First,weperformacomprehensiveglobalanalysisofdisaggregatedgovernmentspendingoneducation,health,socialprotection,environment,housingandcommunity,andrecreationandcultureinclusivegrowth.Ouranalysisthusprovidesamoregranularanddeeperunderstandingoftheinclusiveimpactoffiscalpolicy.Second,weusearichpaneldatasetof191economiesfrom1980to2023andemployJordà's(2005)localprojectionimpulseresponsefunctions(LP-IRFs),alongwithstate-dependentlocalprojectionapproaches,tobettercapturethedynamicandheterogeneouseffectsofinclusivefiscalspending.ThisLP-IRFstechniqueischoseninouranalysisparticularlybecauseofitsflexibilityinaddressingcomplex,nonlinearrelationshipsanditscapabilitytoestimateimpulseresponsesdirectlywithoutimposingthestrictrestrictionsofafullsystemspecification.Itiscomparativelyrobusttomoderatemisspecification(Jordà,2023).Thetraditionalvectorautoregression(VAR),bycontrast,canbemoreefficientwhenspecifiedcorrectly,yetitissusceptibletovariouschallenges:dimensionality,identificationchoices,andmodelmisspecification,whichareespeciallycriticalinmulti-economypanelswithseveralfiscalinstruments(Jordà,2023),asinourcases.Givenourdatafeatures(e.g.,multi-economysetting,heterogeneousfiscalinstruments),ourLPframeworkallowsustoexplorehowtheimpactoffiscalspendingevolvesacrosshorizons,variesacrossincomegroups,andshiftsbasedonthemacroeconomicandinstitutionalcontextofaneconomy,therebyprovidingamorenuancedandpolicy-relevantperspectiveonfiscaldynamicsthattightlyparameterizedVARsmayfailtodo.

Third,wecomparetheeffectsoffiscalspendinginadvancedeconomies(AEs)versusemergingmarketsanddevelopingeconomies(EMDEs).Wehighlightthecriticalroleofinstitutional

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capacityandgovernancequalityinmagnifyingorconstrainingthedistributionalimpactofsuchexpenditures,whichwereoftenoverlookedinpreviouscross-economystudies.Finally,ourfindingshavesignificantimplicationsforpolicymakerscraftingfiscalpoliciestoreduceincomeinequalityand,moregenerally,fostermoreinclusivegrowth.Ouranalysishelpsidentifythetypesofpublicexpenditurewiththebiggestinclusiveeffects,therebyinformingandguidingtheallocationofscarcefiscalresources.

Ourempiricalevidenceclearlyshowsthatpublicspendingthatcanconceivablypromoteequity,suchaseducation,health,andsocialprotection,isstatisticallyandeconomicallysignificantlyassociatedwithimprovementsinincomeinequalityandhumandevelopmentindicators.Theequitygainsfromgovernmentspendingaremostsubstantialinadvancedeconomies,whichtypicallyhavestrongerfiscalframeworksandinstitutions,asevidentinfasterandmoredurabledeclinesintheGiniindex.InEMDEs,whichtypicallyhaveweakerinstitutionsandstructuralbarriers,fiscalpolicyalsoreducesincomeinequality,buttheimpactisnotasstrong.Furthermore,ourstate-dependentandregionalanalysesrevealthattheinfluenceofinclusivespendingiscontextdependent.Morespecifically,highcorruption,weakgovernance,andelevatedclimateriskallweakentheefficacyofinclusivespending.Takentogether,ourresultsunderlinetheimportanceoftargetedfiscalinterventionsthatdirectlyaddressthemostpressingsocialneeds,particularlyinhealth,education,andsocialprotection,withinthebroadercontextofstrengtheninginstitutionssothatpublicresourceseffectivelyreachvulnerablepopulations.

Therestofthepaperisdesignedasfollows.Section2discussestherelevantliterature,includingtheoreticalstudiesandempiricalanalysisofthelinkbetweenfiscalspendingandincomeinequality.Section3laysoutourempiricalmethodology.Section4describesthedataandvariablesusedinourempiricalanalysis.Section5reportsanddiscussesourmainempiricalresults,andfinally,Section6concludesourpaper.

2LITERATUREREVIEW

Therelationshipbetweengovernmentspendingandinclusivegrowthisthesubjectofalong-standingdebateineconomicresearch.Manyresearchershaveinvestigatedtheimpactofgovernmentspendingonreducingincomeinequalityandpromotinginclusiveeconomicgrowth.Thisresearchstreamhasgainedrenewedmomentuminthewakeofrecentglobalrecessionssuchastheglobalfinancialcrisisandthecoronavirusdisease(COVID-19)pandemic,whichdisproportionatelyhitthepoorandthusexacerbateinequalities.Fiscalpolicy,whichplaysabigroleinresourceallocationandincomedistribution,isavitalpolicytoolforpromotingequity.Inthissection,wecriticallyreviewtheexistingbodyofresearchonthecomplexinterplaybetween

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fiscalspendingandinclusivegrowth.Weadoptastructuredapproachtotheliteraturereview,whichisbasedonkeythemes,schoolsofthought,andresearchgaps.Finally,weexplainthecontributionofourstudytothelargeandgrowingliteratureonthefiscalpolicy–inclusivegrowthnexus.

2.1TheoreticalPerspectivesonFiscalSpendingandInclusiveGrowth

Economictheoryoffersdivergentperspectivesontheroleofgovernmentspendinginaddressingincomeinequality.Forinstance,Keynesianeconomicsgenerallypositsthatfiscalinterventionscanstimulatedemand.RecentsupportiveevidenceincludesClementsetal.(2022),whofindthatfiscalinterventionsinsocialsectorssuchaseducation,health,andsocialbenefitscanboostaggregatedemand,indirectlyreducingdisparitiesandthuspromotinginclusivegrowth.Thispointofviewsuggeststhatactivegovernmentparticipationcanaddressmarketfailuresandguidetheeconomytowardmoreequitableoutcomes.

Incontrast,neoclassicaleconomistsprioritizeeconomicefficiency.Aboveall,theycautionagainstexcessivegovernmentspending,arguingthatitcandistortmarketmechanismsandhinderoptimalresourceallocation(Barro,1990).Hence,neoclassicaltheorypostulatesthatgovernmentinterferencecanleadtoinefficiencies,crowdoutprivateinvestment,andharmoveralleconomicperformance.Thesecontrastingperspectivesontheroleofthegovernmenthighlightthedilemmabetweeninterventionandefficiencythatpolicymakersface.

Endogenousgrowththeoriesofferyetanotheralternativeview.Thesetheoriesunderscoretheimportanceofhumancapitalinvestments,especiallyineducationandhealthcare,forlong-termgrowthandequity.Inlinewiththeinclusivegrowthconcept,thistheoreticalframeworkpointsoutthatsuchinvestmentscanenhanceproductivity,broadeneconomicopportunities,andsupportamoreequitableincomedistribution(Lucas,1988).Morerecentperspectives,suchasthesocialinvestmentparadigm,builduponthisemphasisonhumancapital.Theyhighlightthesignificanceofproactiveandfocusedsocialspendingtolowerstructuralinequalitywhilepromotingsocialinclusion(Semmler,2007).

Weobservethepracticalramificationsofthesetheoriesintaxpolicy,akeycomponentofanyfiscalstrategy.Effectivetaxdesignisindispensableforachievingbothefficiencyandequality,therebyfacilitatinginclusivegrowth.Soundtaxpolicyrequiresacarefulevaluationofdetailedtaxpolicychoicesrelatedtopersonalincometaxonlaborandcapitalincome,wealthtax,corporateincometax,andconsumptiontax(Abdel-KaderandDeMooij,2020).Moreover,politicalsupportiscrucialforsuccessfullyimplementingtaxreformstopromoteinclusivegrowth(Abdel-KaderandDeMooij,2020).

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2.2EmpiricalEvidenceonFiscalSpendingandInclusiveGrowth

Empiricalstudiesthatexplorethelinkbetweenfiscalspendingandinclusivegrowthyieldmixedevidenceabouttheimpactoffiscalspendingonincomeinequality.

2.2.1FiscalPolicy,IncomeInequality,andInclusiveGrowth

Asubstantialbodyofresearchcentersontheroleoffiscalredistributioninadvancinginclusiveeconomicgrowth,especiallywithinAsia(e.g.,AoyagiandGanelli,2015;Clementsetal.,2025;Clementsetal.,2022).AoyagiandGanelli(2015)suggestthatfiscalredistributions,combinedwithmonetarypolicyandstructuralreforms,arekeydriversofinclusiveeconomicgrowth.Clementsetal.(2025)furtheremphasizethatfiscalredistribution,primarilythroughtargetedhealthandeducationspending,significantlyliftsthelikelihoodofachievinginclusivegrowthandreducingincomeinequality.However,thesestudiesalsocautionthatraisingsufficientgovernmentrevenuestofundtargetedprogramsandprovidesocialbenefitsadequatelymayencountersignificantchallenges(Clementsetal.,2022).

Severalearlierstudiesemphasizethecompositionofpublicexpenditureasamajorinfluenceoneconomicgrowthandinclusivedevelopment(Semmler,2007;Zouharetal.,2021).Semmler(2007)exploredtheeffectsofvariouspublicexpenditurecomponentssuchaseducation,health,infrastructure,andsocialbenefitsoninequalityandpoverty.Thisstudyarguesthatgrowth-promotingfiscalspendingcanexpandfuturefiscalrevenueandhencefuturefiscalspace.Althoughthereisabroadconsensusonthepotentialoffiscalpolicytoreduceincomedisparity,theparticularexpenditurecomponentsandtheirdynamicinfluencesonequityvarysignificantlyacrossnationsandincomelevels(Isiakaetal.,2025).

Inthisconnection,Zouharetal.(2021)showthatspecifictypesofspendingareimportantintermsoftheirdynamiceffectoninequality,incomedistributionacrossvarioussegmentsofsociety,andtheassociatedtimeprofile.Cliftonetal.(2020)showthatgovernmentexpenditureonspecificcomponents,suchaseducation,personalincometaxes,andsocialsecurity,substantiallyreducesincomeinequalityinurbanareas.However,theseeffectsareinconsistent,andtheychangeovertime.Similarly,Hur(2015)andClementsetal.(2022)findthatincreasedpublicspendingonspecificexpenditurecomponents—suchaseducation,health,andsocialprotection—correlateswithlowerincomeinequality,asmeasuredbytheGiniindex.

MallaandPathranarakul(2022)presentcontrastingevidencefordevelopingversusdevelopedeconomies.Theyfindthatprogressiveincometaxtendstoreduceincomeinequalityonlyindevelopingeconomies.Theyalsoshowthathighergovernmentspending,particularlyoneducationandhealth,isassociatedwithlowerincomeinequalityindevelopedeconomies.

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However,thisrelationshipisnotconsistentlyobservedindevelopingeconomies.Thisunderscorestheimportanceofconsideringthespecificcontextofdevelopedversusdevelopingeconomieswhenanalyzingtheinclusiveimpactoffiscalpolicy.Furthermore,studiessuggestthatinemerginganddevelopingnations,fiscalpoliciesoftendonotsubstantiallyreduceinequality,possiblyduetocorruption,leakages,andweakinstitutionalframeworks(Chuetal.,2000;Guptaetal.,2002;MallaandPathranarakul,2022).Martinez-Vazquezetal.(2012)alsofindmixedevidence.Theysuggestthatprogressivepersonalandcorporateincometaxesareassociatedwithlowerincomeinequality,whileothertaxes,suchasgeneraltaxes,excisetaxes,andcustomsduties,tendtoexacerbateinequality.Theirfindingsalsosuggestthatincreasedpublicexpendituresoneducation,health,andsocialwelfaretendtoreduceinequality.However,arecentstudybyLiuandDong(2025)offersdivergentevidence.Theyshowthatpublicspendingonsocialwelfaremayincreaseincomedisparitybetweenurbanversusruralareasin31Chineseprovinces.However,theimpactisinconsistentacrossprovinces.AlesinaandArdagna(2010)examinetheeffectsofsignificantchangesinfiscalpolicy,suchasfiscalstimulusandadjustment,oneconomicgrowthinOrganisationofEconomicCo-operationandDevelopment(OECD)economies.Theirfindingsindicatethatafiscalstimulusthroughtaxcutsismoreeffectiveforraisinggrowththanincreasingpublicspending.Theyalsosuggestthatfiscaladjustmentsthroughspendingcutstendtoreducebudgetdeficitsandpublicdebt-to-GDPratiosmorethanraisingtaxes.

2.2.2BroaderFiscalPolicyMeasuresandIncomeInequality

Researchersalsoinvestigatetheimpactofbroaderfiscalpolicymeasuresbeyondspecificexpenditurecategoriesonincomeinequality.Forinstance,AgnelloandSousa(2014)analyzetheimpactoffiscalconsolidationonincomeinequality.Theirfindingssuggestthatfiscalconsolidationtendstoincreaseincomeinequality,mainlyduetospendingcuts.Thesizeoffiscalconsolidationprogramsandtheirinteractionwitheconomicconditions,suchasbankingcrises,inflation,andeconomicgrowth,influenceincomedistribution(AgnelloandSousa,2014).Konstantinou(2024)alsofindsthatfiscalconsolidationintheformofpublicspendingexacerbatesinequality.However,theeffectoffiscaladjustmentsoninequalitymaydependonthesizeofthefis