Thesis (MSc) - Cyprus International University. Institute of Graduate Studies and Research Economics

Cameroon is a developing country that has undergone significant changes in its
economic policy since the 1990s. These changes were initiated through structural
adjustments and market policies recommended by international financial institutions
to achieve a 20 percent increase in non-oil public revenues. The variables taken into
account in these adjustments therefore vary according to the economic policy under
consideration. Import taxes, consumption taxes, minimum import taxes, airport
charges, etc. can be used if fiscal policy is emphasized.
Using quantitative data from sources such as the World Bank, this study analyzes the
impact of these economic policies indicators: public expenditures, tax revenues,
consumer price index a proxy of inflation, and exchange rates on the gross domestic
product that is a proxy of economic growth. Vector Error Correction Model (VECM)
has been used for this work. The results of the econometric analysis display that
economic policies have had a meaningful impact on the economic growth that leads to
poverty reduction in Cameroon.
The findings of this thesis provide important insights into the effectiveness of public
policy in Cameroon and the challenges the country faces in implementing this policy.
The results could be used to inform future economic policy in Cameroon and to assist
other developing countries in formulating effective economic policies within complex
political and institutional contexts.