The cyclicality of fiscal policy in South Asia
... of South Asia. In SACs, Hussain and Siddiqi (2013) have analyzed the cyclicality of government expenditures in six SACs using data from 1980 to 2010. They conclude that fiscal policy is procyclical in these countries and that weak political system and poor institutions do not contribute to the procy ...
... of South Asia. In SACs, Hussain and Siddiqi (2013) have analyzed the cyclicality of government expenditures in six SACs using data from 1980 to 2010. They conclude that fiscal policy is procyclical in these countries and that weak political system and poor institutions do not contribute to the procy ...
BUDGET FRAMEWORK PAPER FY2015/16
... duties in the absence of UNMIL. This National Budget also marks the fourth year of working towards the implementation of Medium Term Expenditure Framework (MTEF) budgeting. The first cycle of the MTEF budgets, from Fiscal Year 2012/13 to 2014/15, scored some successes, with gradual improvements in b ...
... duties in the absence of UNMIL. This National Budget also marks the fourth year of working towards the implementation of Medium Term Expenditure Framework (MTEF) budgeting. The first cycle of the MTEF budgets, from Fiscal Year 2012/13 to 2014/15, scored some successes, with gradual improvements in b ...
Fiscal Federalism - Acsu Buffalo
... local state-owned enterprises to capture the full revenue stream generated by their business activities without fear of future reprisal or expropriation. According to Weingast (1995, 4), the four elements outlined above together comprise marketpreserving federalism. In this model, the problem with c ...
... local state-owned enterprises to capture the full revenue stream generated by their business activities without fear of future reprisal or expropriation. According to Weingast (1995, 4), the four elements outlined above together comprise marketpreserving federalism. In this model, the problem with c ...
Fiscal Expansions and Adjustments in OECD Countries by Alberto
... We find that large fiscal expansions typically are biased towards increases in expenditure, while large fiscal adjustments on average rely more on tax increases. However, we find a large and fundamental difference between fiscal adjustments that lead to permanent improvements in the fiscal balance a ...
... We find that large fiscal expansions typically are biased towards increases in expenditure, while large fiscal adjustments on average rely more on tax increases. However, we find a large and fundamental difference between fiscal adjustments that lead to permanent improvements in the fiscal balance a ...
Fiscal Cyclicality and EMU* Agustin S. Benetrix, IIIS, Trinity College Dublin
... dynamics, with revenue gains during upswings used to finance spending increases or tax cuts and revenue declines during downturns inducing spending cuts or tax rate hikes. For clarity, this paper will use the former terminology. Thus, we say that the government balance is acyclical if its ratio to G ...
... dynamics, with revenue gains during upswings used to finance spending increases or tax cuts and revenue declines during downturns inducing spending cuts or tax rate hikes. For clarity, this paper will use the former terminology. Thus, we say that the government balance is acyclical if its ratio to G ...
COM COM(2007)
... The different composition of the fiscal adjustment compared to plans suggests that in some cases tax windfalls, which may be of a temporary nature, were partly used to finance increases in government expenditure. This shift suggests a risk that past policy mistakes are being repeated. The current co ...
... The different composition of the fiscal adjustment compared to plans suggests that in some cases tax windfalls, which may be of a temporary nature, were partly used to finance increases in government expenditure. This shift suggests a risk that past policy mistakes are being repeated. The current co ...
Non-Keynesian Effects of Fiscal Policy in the EU
... expectation of higher future taxes and an expectation that permanent income is indeed lower. If however, public expenses keep rising, beyond a certain limit there will be also an increased probability that a fiscal consolidation might happen (in Bertola and Drazen (1993) words, public expenditures r ...
... expectation of higher future taxes and an expectation that permanent income is indeed lower. If however, public expenses keep rising, beyond a certain limit there will be also an increased probability that a fiscal consolidation might happen (in Bertola and Drazen (1993) words, public expenditures r ...
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... identify two distinct groups within the NMS. In the third part, we present some stylized facts about NMSs public budgets, their expenditure and revenue structure and dynamics and about budget deficits and government debts in those countries. In the fourth part, we look more closely on the underlying ...
... identify two distinct groups within the NMS. In the third part, we present some stylized facts about NMSs public budgets, their expenditure and revenue structure and dynamics and about budget deficits and government debts in those countries. In the fourth part, we look more closely on the underlying ...
Cyclical fiscal policy in developing countries: the case of Africa
... There is now a growing consensus that volatility has undesirable development effects. A number of papers estimate large welfare costs of output volatility (see, for instance, Van Wincoop, 1994, Campbell, 1998, Campbell and Cochrane, 2000, Loayza et al. 2007). While this result is not always consensu ...
... There is now a growing consensus that volatility has undesirable development effects. A number of papers estimate large welfare costs of output volatility (see, for instance, Van Wincoop, 1994, Campbell, 1998, Campbell and Cochrane, 2000, Loayza et al. 2007). While this result is not always consensu ...
Reforming Fiscal Governance in the European Union
... successive reforms have helped to strengthen fiscal policy guidance, but they have also made the framework significantly more complex and difficult to operate, and concerns about compliance remain. The purpose of this paper is to present options for simplifying the EU fiscal governance framework whi ...
... successive reforms have helped to strengthen fiscal policy guidance, but they have also made the framework significantly more complex and difficult to operate, and concerns about compliance remain. The purpose of this paper is to present options for simplifying the EU fiscal governance framework whi ...
Budget Processes in Poland
... upon evidence from other countries. The key theoretical issue that confronts all governments is what the literature refers to as the “common pool resource problem.” Taxes represent the common pool, and decision-makers have an incentive to consider the full implications of their spending decisions bu ...
... upon evidence from other countries. The key theoretical issue that confronts all governments is what the literature refers to as the “common pool resource problem.” Taxes represent the common pool, and decision-makers have an incentive to consider the full implications of their spending decisions bu ...
Fiscal Policy Issues in Korea after the Current Crisis
... of expansionary measures, and the long-term implications for government debt. As in most other countries, fiscal policy turned expansionary in Korea after the onset of the current crisis. While government expenditure increased by 15% in 2009, revenues increased by only 2% in nominal terms. As a cons ...
... of expansionary measures, and the long-term implications for government debt. As in most other countries, fiscal policy turned expansionary in Korea after the onset of the current crisis. While government expenditure increased by 15% in 2009, revenues increased by only 2% in nominal terms. As a cons ...
Demand Effects of Fiscal Policy since 2008
... economic growth.1 In a similar vein, Afonso (2006), in a panel study of EU15 countries over the period of 1970-2005, finds some evidence in favour of EFC for government final consumption spending, taxes, and social transfers. The inverse correlation of government spending and private consumption, he ...
... economic growth.1 In a similar vein, Afonso (2006), in a panel study of EU15 countries over the period of 1970-2005, finds some evidence in favour of EFC for government final consumption spending, taxes, and social transfers. The inverse correlation of government spending and private consumption, he ...
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... constraints might be difficult to reduce when regions face very different fiscal needs and fiscal capacities. This paper investigates the way differences in fiscal capacities, which are primarily determined by regional differences in GDP per capita, influence regional public borrowing depending on t ...
... constraints might be difficult to reduce when regions face very different fiscal needs and fiscal capacities. This paper investigates the way differences in fiscal capacities, which are primarily determined by regional differences in GDP per capita, influence regional public borrowing depending on t ...
Fiscal Policy in Response to Climate Variability in
... Under the Public Debt Management Act B.E. 2548 (2005), there are fiscal legislations and rules governing issues related to public debt management in both direct borrowing and guarantees. The Ministry of Finance can raise loans only for the following purposes: (1) Financing the budget in the case of ...
... Under the Public Debt Management Act B.E. 2548 (2005), there are fiscal legislations and rules governing issues related to public debt management in both direct borrowing and guarantees. The Ministry of Finance can raise loans only for the following purposes: (1) Financing the budget in the case of ...
Fiscal Fallacies: The Failure of Activist Fiscal Policy
... disposable income without the rebates and the rebate payments as two separate variables in the regressions. To allow for lagged effects of changes in income, I include a lagged dependent variable in the equations. The first column of Table 2 shows that the impact of the rebate is statistically insig ...
... disposable income without the rebates and the rebate payments as two separate variables in the regressions. To allow for lagged effects of changes in income, I include a lagged dependent variable in the equations. The first column of Table 2 shows that the impact of the rebate is statistically insig ...
Chile`s new fiscal rule
... output. Although a variety of methods exist for calculating potential output and corresponding output gaps, all of them have major shortcomings (see e.g. Deutsche Bundesbank 1997). An additional caveat is that estimates of the structural balance are usually based on the assumption of constant revenu ...
... output. Although a variety of methods exist for calculating potential output and corresponding output gaps, all of them have major shortcomings (see e.g. Deutsche Bundesbank 1997). An additional caveat is that estimates of the structural balance are usually based on the assumption of constant revenu ...
Chapter 7 Chile`s New Fiscal Rule
... output. Although a variety of methods exist for calculating potential output and corresponding output gaps, all of them have major shortcomings (see e.g. Deutsche Bundesbank 1997). An additional caveat is that estimates of the structural balance are usually based on the assumption of constant revenu ...
... output. Although a variety of methods exist for calculating potential output and corresponding output gaps, all of them have major shortcomings (see e.g. Deutsche Bundesbank 1997). An additional caveat is that estimates of the structural balance are usually based on the assumption of constant revenu ...
Fiscal Rules and Macroeconomic Stability
... other matters such as the 3 per cent limit to budget deficits in the SGP. From a theoretical perspective this issue is of less relevance, since well functioning fiscal rules do not require such an additional limit to achieve an equilibrium over-the-cycle budget balance. Also, its empirical relevance ...
... other matters such as the 3 per cent limit to budget deficits in the SGP. From a theoretical perspective this issue is of less relevance, since well functioning fiscal rules do not require such an additional limit to achieve an equilibrium over-the-cycle budget balance. Also, its empirical relevance ...
Lodz Economics Working Papers FISCAL SUSTAINABILITY OF THE
... The article investigates the sustainability of fiscal policies of the Visegrad Group countries (Poland, Czech Republic, Hungary and Slovakia) in the years 19962015 using statistical and econometric analysis methods. Special attention is given to the identification of subperiods of low sustainability ...
... The article investigates the sustainability of fiscal policies of the Visegrad Group countries (Poland, Czech Republic, Hungary and Slovakia) in the years 19962015 using statistical and econometric analysis methods. Special attention is given to the identification of subperiods of low sustainability ...
Country Heterogeneity and the International Evidence on the
... and the relative contribution of revenues and expenditures to the overall shift differs significantly across countries. Ramey (2011) recognizes this point, as she stresses the fact that the correlation between revenue and spending shocks may change also within a country. When analyzing the spending s ...
... and the relative contribution of revenues and expenditures to the overall shift differs significantly across countries. Ramey (2011) recognizes this point, as she stresses the fact that the correlation between revenue and spending shocks may change also within a country. When analyzing the spending s ...
41 Box I.5: Forecast errors and multiplier uncertainty The - E-SGH
... recent years has been common to most forecasters, including other major international institutions. An analysis presented in the latest IMF World Economic Outlook argues that past forecast errors provide evidence that forecasters have significantly underestimated fiscal policy multipliers.(1) Withou ...
... recent years has been common to most forecasters, including other major international institutions. An analysis presented in the latest IMF World Economic Outlook argues that past forecast errors provide evidence that forecasters have significantly underestimated fiscal policy multipliers.(1) Withou ...
Cyclicality in the Fiscal Policy of Nepal
... and stability. It is an ingredient for poverty reduction too (IMF, 2006). Fiscal adjustment is the key to achieve sound and sustainable fiscal position. It may involve either tightening or loosening the fiscal stance, depending on individual country circumstances. Loose fiscal policy can lead to inf ...
... and stability. It is an ingredient for poverty reduction too (IMF, 2006). Fiscal adjustment is the key to achieve sound and sustainable fiscal position. It may involve either tightening or loosening the fiscal stance, depending on individual country circumstances. Loose fiscal policy can lead to inf ...
Official PDF , 45 pages
... 3. Fiscal Cyclicality under Alternative Filtering Methods In a recent paper, Frankel et al. (2013) documented a movement away from procyclicality for a sizeable number of developing countries in the 2000s. The authors used a sample of 94 countries (21 developed and 73 developing) over a period of 49 ...
... 3. Fiscal Cyclicality under Alternative Filtering Methods In a recent paper, Frankel et al. (2013) documented a movement away from procyclicality for a sizeable number of developing countries in the 2000s. The authors used a sample of 94 countries (21 developed and 73 developing) over a period of 49 ...
The Effects of Fiscal Policy on Consumption in Good and Bad Times
... The effect of fiscal policy on private consumption is of central importance for the policy’s macroeconomic efficacy.1 Yet, the current debate about fiscal policy since the beginning of the Great Recession has made one thing clear: the empirical pre-crisis evidence on the impact of fiscal policy on o ...
... The effect of fiscal policy on private consumption is of central importance for the policy’s macroeconomic efficacy.1 Yet, the current debate about fiscal policy since the beginning of the Great Recession has made one thing clear: the empirical pre-crisis evidence on the impact of fiscal policy on o ...