Fiscal Stabilization Policy and Fiscal Institutions.
In this paper we analyse counter-cyclical fiscal policy within the context of a microfounded analysis of business-cycle stabilization. We show that tax and spending instruments can have a useful counter-cyclical role, even after allowing for the distortionary nature of the instruments and the need f...
| Main Authors: | , |
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| Format: | Journal article |
| Language: | English |
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2005
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| _version_ | 1826259195645657088 |
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| author | Leith, C Wren-Lewis, S |
| author_facet | Leith, C Wren-Lewis, S |
| author_sort | Leith, C |
| collection | OXFORD |
| description | In this paper we analyse counter-cyclical fiscal policy within the context of a microfounded analysis of business-cycle stabilization. We show that tax and spending instruments can have a useful counter-cyclical role, even after allowing for the distortionary nature of the instruments and the need for debt sustainability. A critical barrier to the use of fiscal instruments may be political economy concerns, and we survey recent suggestions involving alternative fiscal policy institutions. |
| first_indexed | 2024-03-06T18:46:02Z |
| format | Journal article |
| id | oxford-uuid:0e8a37c7-5110-4045-81bd-e3af03785084 |
| institution | University of Oxford |
| language | English |
| last_indexed | 2024-03-06T18:46:02Z |
| publishDate | 2005 |
| record_format | dspace |
| spelling | oxford-uuid:0e8a37c7-5110-4045-81bd-e3af037850842022-03-26T09:46:26ZFiscal Stabilization Policy and Fiscal Institutions.Journal articlehttp://purl.org/coar/resource_type/c_dcae04bcuuid:0e8a37c7-5110-4045-81bd-e3af03785084EnglishDepartment of Economics - ePrints2005Leith, CWren-Lewis, SIn this paper we analyse counter-cyclical fiscal policy within the context of a microfounded analysis of business-cycle stabilization. We show that tax and spending instruments can have a useful counter-cyclical role, even after allowing for the distortionary nature of the instruments and the need for debt sustainability. A critical barrier to the use of fiscal instruments may be political economy concerns, and we survey recent suggestions involving alternative fiscal policy institutions. |
| spellingShingle | Leith, C Wren-Lewis, S Fiscal Stabilization Policy and Fiscal Institutions. |
| title | Fiscal Stabilization Policy and Fiscal Institutions. |
| title_full | Fiscal Stabilization Policy and Fiscal Institutions. |
| title_fullStr | Fiscal Stabilization Policy and Fiscal Institutions. |
| title_full_unstemmed | Fiscal Stabilization Policy and Fiscal Institutions. |
| title_short | Fiscal Stabilization Policy and Fiscal Institutions. |
| title_sort | fiscal stabilization policy and fiscal institutions |
| work_keys_str_mv | AT leithc fiscalstabilizationpolicyandfiscalinstitutions AT wrenlewiss fiscalstabilizationpolicyandfiscalinstitutions |