The Effectiveness of Fiscal Policy in Stimulating Economic Activity
Title | The Effectiveness of Fiscal Policy in Stimulating Economic Activity PDF eBook |
Author | Richard Hemming |
Publisher | International Monetary Fund |
Pages | 62 |
Release | 2002-12 |
Genre | Business & Economics |
ISBN |
This paper reviews the theoretical and empirical literature on the effectiveness of fiscal policy. The focus is on the size of fiscal multipliers, and on the possibility that multipliers can turn negative (i.e., that fiscal contractions can be expansionary). The paper concludes that fiscal multipliers are overwhelmingly positive but small. However, there is some evidence of negative fiscal multipliers.
Fiscal Policy in an Estimated Open-economy Model for the Euro Area
Title | Fiscal Policy in an Estimated Open-economy Model for the Euro Area PDF eBook |
Author | Marco Ratto |
Publisher | |
Pages | 76 |
Release | 2006 |
Genre | Fiscal policy |
ISBN |
Recoge: Introduction - 1. The Model - 2. Estimation - 3. Assessing the Role of Fiscal Policy - 4. Conclusion.
How Loose, How Tight? A Measure of Monetary and Fiscal Stance for the Euro Area
Title | How Loose, How Tight? A Measure of Monetary and Fiscal Stance for the Euro Area PDF eBook |
Author | Nicoletta Batini |
Publisher | International Monetary Fund |
Pages | 75 |
Release | 2020-06-05 |
Genre | Business & Economics |
ISBN | 1513546082 |
This paper builds a model-based dynamic monetary and fiscal conditions index (DMFCI) and uses it to examine the evolution of the joint stance of monetary and fiscal policies in the euro area (EA) and in its three largest member countries over the period 2007-2018. The index is based on the relative impacts of monetary and fiscal policy on demand using actual and simulated data from rich estimated models featuring also financial intermediaries and long-term government debt. The analysis highlights a short-lived fiscal expansion in the aftermath of the Global Financial Crisis, followed by a quick tightening, with monetary policy left to be the “only game in town” after 2013. Individual countries’ DMFCIs show that national policy stances did not always mirror the evolution of the aggregate stance at the EA level, due to heterogeneity in the fiscal stance.
Managing the Sovereign-Bank Nexus
Title | Managing the Sovereign-Bank Nexus PDF eBook |
Author | Mr.Giovanni Dell'Ariccia |
Publisher | International Monetary Fund |
Pages | 54 |
Release | 2018-09-07 |
Genre | Business & Economics |
ISBN | 1484359623 |
This paper reviews empirical and theoretical work on the links between banks and their governments (the bank-sovereign nexus). How significant is this nexus? What do we know about it? To what extent is it a source of concern? What is the role of policy intervention? The paper concludes with a review of recent policy proposals.
Fiscal Policy and Long-Term Growth
Title | Fiscal Policy and Long-Term Growth PDF eBook |
Author | International Monetary Fund |
Publisher | International Monetary Fund |
Pages | 257 |
Release | 2015-04-20 |
Genre | Business & Economics |
ISBN | 1498344658 |
This paper explores how fiscal policy can affect medium- to long-term growth. It identifies the main channels through which fiscal policy can influence growth and distills practical lessons for policymakers. The particular mix of policy measures, however, will depend on country-specific conditions, capacities, and preferences. The paper draws on the Fund’s extensive technical assistance on fiscal reforms as well as several analytical studies, including a novel approach for country studies, a statistical analysis of growth accelerations following fiscal reforms, and simulations of an endogenous growth model.
Coordination of Monetary and Fiscal Policies
Title | Coordination of Monetary and Fiscal Policies PDF eBook |
Author | International Monetary Fund |
Publisher | International Monetary Fund |
Pages | 33 |
Release | 1998-03-01 |
Genre | Business & Economics |
ISBN | 1451844239 |
Recently, monetary authorities have increasingly focused on implementing policies to ensure price stability and strengthen central bank independence. Simultaneously, in the fiscal area, market development has allowed public debt managers to focus more on cost minimization. This “divorce” of monetary and debt management functions in no way lessens the need for effective coordination of monetary and fiscal policy if overall economic performance is to be optimized and maintained in the long term. This paper analyzes these issues based on a review of the relevant literature and of country experiences from an institutional and operational perspective.
NBER Macroeconomics Annual 2005
Title | NBER Macroeconomics Annual 2005 PDF eBook |
Author | Kenneth S. Rogoff |
Publisher | MIT Press |
Pages | 479 |
Release | 2006-04 |
Genre | Business & Economics |
ISBN | 0262072726 |
The 20th NBER Macroeconomics Annual, covering questions at the cutting edge of macroeconomics that are central to current policy debates.