Issues in the design of fiscal policy rules

Theory suggests that government should as far as possible smooth taxes and its recurrent consumption spending, which means that government debts should act as a shock absorber, and any planned adjustments in debt should be gradual. This suggests that operational targets for governments (e.g. for 5...

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Bibliographic Details
Main Authors: Wren-Lewis, S, Portes, J
Format: Working paper
Published: University of Oxford 2014