Abstract

The study sought to model the Non-Linear Effects of Government Expenditure Components on Economic Growth in 
Uganda. The specific objective of this study was to examine the relationship between capital expenditures and 
economic growth in Uganda. Using a combination of statistical nonlinear models, including the Time-Dependent 
Cobb-Douglas model and Logistic Growth model, the study analyzed historical data on government expenditures and 
GDP growth in Uganda from 1982 to 2024. The results reveal significant findings. The Time-Dependent Cobb
Douglas model, in particular, highlights a positive correlation between capital expenditures and economic growth, 
suggesting that strategic investments in infrastructure can stimulate productivity and growth. This study contributes 
to the understanding of how various government spending categories affect Uganda’s economic performance and 
provides valuable insights for policymakers. It emphasizes the importance of efficient allocation and prioritization of 
expenditures to maximize economic returns, particularly through investments in technology and capital infrastructure. 
The study recommended that future research should be conducted on optimizing public spending to foster sustainable 
growth in Uganda and other developing economies.