Abstract:

Specifically, after the liberal policies that spread in the 1980s, the relationship between car open and budget gap was the subject of debate. The debate is based on the basis of the Ricardian Equality Approach, which claims that there is no relationship between the Keynesian opinion and the variables, which claims that the double open hypothesis, i.e. the budget gap causes a curricular disclosure. The study tested the double-open hypothesis for 34 OECD countries as empirical. The data cover the years 2000-2019. In the econometric method, the stagnation of the series first is studied by the second generation panel unit root tests. According to the results, the double open hypothesis is analyzed with the help of the second-generation panel integration test. According to the analysis, there is no connection between budget gap and charity gap in the OECD countries. In short, the study concluded that the double-open hypothesis was not valid for the OECD countries during the period. The findings obtained, Ricardian's opinion is in favor and Keynesian's opinion is rejected.

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