Economides, George; Papageorgiou, Dimitris; … - CESifo - 2012
In this paper, we study the aggregate and distributional implications of a smaller public sector in the euro area. By a … smaller public sector, we mean a reduction in public debt and/or cuts in public spending, when such changes in fiscal policy … model numerically using fiscal data from the euro area and then do a number of policy experiments. The general message is …