Kirchgässner, Gebhard (contributor); … - 2006
We examine whether Swiss federal fiscal policy was sustainable over the period from 1900 to 2002. We perform unit root …-samples before and after World War II, the results do much less support sustainability. Finally, applying the tax smoothing model of … BARRO (1979), we show that cyclical fluctuations of the output and changes in expected inflation rate are major determinants …