Search Results - subject:"Fiscal reaction function"

Euro membership and fiscal reaction functions

Weichenrieder, Alfons J.; Zimmer, Jochen - 2013

The paper uses fiscal reaction functions for a panel of euro-area countries to investigate whether euro membership has reduced the responsiveness of countries to shocks in the level of inherited debt compared to the period prior to succession to the euro. While we find some evidence for such a...

Persistent link: https://www.econbiz.de/10010327821

Trust in government and fiscal adjustments

Bursian, Dirk; Weichenrieder, Alfons J.; Zimmer, Jochen - 2013

The paper looks at the determinants of fiscal adjustments as reflected in the primary surplus of countries. Our conjecture is that governments will usually find it more attractive to pursue fiscal adjustments in a situation of relatively high growth, but based on a simple stylized model of...

Persistent link: https://www.econbiz.de/10010327825

A Modern History of Fiscal Prudence and Profligacy

Mauro, Paolo; Romeu, Rafael; Binder, Ariel J; Zaman, Asad - International Monetary Fund (IMF) - 2013

We draw on a newly collected historical dataset of fiscal variables for a large panel of countriesâ€”to our knowledge, the most comprehensive database currently availableâ€”to gauge the degree of fiscal prudence or profligacy for each country over the past several decades....

Persistent link: https://www.econbiz.de/10011142135

Fiscal Sustainability, Public Investment, and Growth in Natural Resource-Rich, Low-Income Countries; The Case of Cameroon

Samaké, Issouf; Muthoora, Priscilla S.; Versailles, Bruno - International Monetary Fund (IMF) - 2013

This paper assesses the implications of the use of oil revenue for public investment on growth and fiscal sustainability in Cameroon. We develop a dynamic stochastic general equilibrium model to analyze the effects of such investment on growth and on the path of key fiscal indicators, such as...

Persistent link: https://www.econbiz.de/10011242196

That Squeezing Feeling; The Interest Burden and Public Debt Stabilization

Debrun, Xavier; Kinda, Tidiane - International Monetary Fund (IMF) - 2013

The paper explores the extent to which the pressure of debt service on other spending items may push governments to embark on fiscal consolidation beyond what is strictly necessary to secure solvency. The empirical analysis identifies thresholds of interest bill indicators beyond which...

Persistent link: https://www.econbiz.de/10011242207

Fiscal Sustainability; A 21st Century Guide for the Perplexed

Tanner, Evan - International Monetary Fund (IMF) - 2013

This paper critically reviews recent work regarding the sustainability of public debt. It argues that Debt Sustainability Analyses (DSAs) should be more than mere mechanical simulation exercises. Instead, a DSA should be linked to some objective regarding the distribution of fiscal burdens and...

Persistent link: https://www.econbiz.de/10011242337

Interpretation and limits of sustainability tests in public finance

LAMÉ, G.; LEQUIEN, M.; PIONNIER, P.-A. - Département des Études Économiques d'Ensemble (D3E), … - 2013

Public debt is considered sustainable if discounted net repayments are expected to cover the initial debt issuance, i.e. if the government intertemporal budget constraint is expected to hold. With risk averse lenders and an uncertain economic environment, Bohn (1995) stresses that this...

Persistent link: https://www.econbiz.de/10010732232

Estimating India's Fiscal Reaction Function

Nguyen, Truong - Crawford School of Public Policy, Australian National … - 2013

monetary reaction function, this paper models and estimates a fiscal reaction function for India as a part of a macro model for … the theoretical foundations for the empirical estimation. In estimating India's fiscal reaction function, data stationary … the new element in the function and should be important in any borrowing action. The estimated fiscal reaction function …

Persistent link: https://www.econbiz.de/10010762619

The European Debt Crisis and Fiscal Reaction Functions in Europe 2000-2012

Baldi, Guido; Staehr, Karsten - DIW Berlin (Deutsches Institut für Wirtschaftsforschung) - 2013

After the global financial crisis, some governments in the EU experienced serious debt financing problems, while others were less affected. This paper seeks to shed light on the divergent fiscal performance by assessing the fiscal conduct in the EU countries before and after the outbreak of the...

Persistent link: https://www.econbiz.de/10010896193

Euro membership and fiscal reaction functions

Weichenrieder, Alfons J.; Zimmer, Jochen - Research Center SAFE (Sustainable Architecture for … - 2013

Persistent link: https://www.econbiz.de/10010955132